As hospitals and health systems look to revamp care delivery without relinquishing local control, non-ownership collaborations have become increasingly popular.
According to Hammond Hanlon Camp, healthcare providers are pursuing non-ownership partnerships more and more in order to reap the benefits of joining forces without going through an actual merger and giving up ownership. Here are three key stories on non-ownership agreements.
1. Health System Collaborations Rise in Popularity
More health systems are looking at non-ownership deals in which they retain independence, but more importantly, they work together to gain scale and reap operational efficiencies. "Once one system pulls the trigger and says they're looking for greater scale, then that has a domino effect," Adam Lynch, vice president at Principle Valuation, told the Business Journal.
2. Report: 3 Key Healthcare Merger and Acquisition Trends
Hospitals, health systems and other organizations have shown more interest in forming joint ventures, shared service agreements and other arrangements that allow them to reap the benefits of joining forces without going through a full merger and giving up ownership, according to a report from strategic advisory and investment banking firm Hammond Hanlon Camp.
3. Keeping Healthcare Local: Why Some Providers Choose Non-Ownership Collaborations Over Mergers
In the midst of a wave of consolidation, some hospitals and health systems prefer to pool their resources while remaining independent.
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