Private equity (PE) investment in gastroenterology has been on the rise, with several key developments:
- Rapid Growth of PE-Backed Platforms: GI Alliance, established in November 2018, has expanded into eight states, encompassing over 800 providers, including 430 gastroenterologists. Similarly, Gastro Health, the first platform in this space, has solidified its presence in Florida and Virginia and expanded into Ohio, Washington, and Alabama.
- Emergence of New PE-Backed Groups: US Digestive Health, formed in May 2019, has quickly established a strong foothold in Pennsylvania, closing three post-formation deals. One GI, established in April 2020, has expanded by acquiring practices in Tennessee and Mississippi.