Following reports of increased private investment in the healthcare industry, private equity firm Irving Place Capital (IPC) agreed to purchase National Surgical Hospitals (NSH), which owns and operates 14 surgical hospitals and seven ambulatory surgery centers in 10 states, the firm announced yesterday. The terms of the transaction were not disclosed.
Under the recapitalization deal, New York-based-IPC will replace the hospital system's current owners, Ferrer Freeman & Co., Charlesbank Capital Partners and JPMorgan Asset Management.
"IPC's capital strength will allow us to reinvigorate our acquisition program and enhance our ability to add services and invest in the latest proven technology to empower physicians to deliver better outcomes for patients," NSH President and CEO John G. Rex-Waller said in a statement.
The acquisition will also give NSH a majority stake (56.9 percent) in Lafayette Surgical Specialty Hospital, a 20-bed facility in Lafayette, La.--bringing its total number of surgical hospitals to 15.
David Crane, a senior advisor to IPC, chairman of New Hope Bariatrics and former CEO for Medcath, will become chairman of NSH's Board of Directors.
The recapitalization deal is expected to close at the end of January.
- here's the Irving Place Capital press release
- read the Becker's Hospital Review article