Deal believed to be nation's second-largest transaction involving physician groups
Hawthorne says Texas Health reaches strategic goal and enhances ability to serve patients and align with physicians
ARLINGTON, Texas, Jan. 4, 2011 /PRNewswire-USNewswire/ -- Texas Health Resources today announced the acquisition of MedicalEdge Healthcare Group, one of the largest independent physician practice groups in North Texas. The combination of the two entities positions Texas Health closer to where patients live and work and enhances the ability to serve patients throughout the lifetime of their changing medical needs and requirements. This transaction is believed to be the second largest of its kind ever in the United States.
Texas Health also announced that it acquired PhyServe, the management services organization that has served the MedicalEdge physicians and their business operations. MedSynergies Inc., a leading provider of hospital-physician alignment solutions, is acquiring PhyServe from Texas Health in a related transaction.
"This enables Texas Health to become a 'medical home' for thousands of North Texas patients," said Douglas D. Hawthorne, FACHE, CEO of Texas Health Resources. "Immediately, more than 420 physicians, physician assistants and nurse practitioners will become part of our established and well-respected Texas Health Physicians Group (THPG), and the patients of MedicalEdge providers will have easy access to a hospital system dedicated to both quality and accountable medical treatment.
"In addition, we remain a committed partner with hundreds of independent physicians who practice on the medical staffs of Texas Health hospitals," said Hawthorne. "We have built Texas Health to be a 'house with many rooms' to align with all types of physicians. Our ultimate goal is to improve quality and outcomes through better coordination of care from prevention and wellness programs, to acute care, to long term and hospice care. This is the most significant step Texas Health has taken in our strategy to become an integrated provider and coordinator of care and transform the delivery of health care in North Texas."
MedicalEdge has patient-access facilities in more than 250 locations in Collin, Dallas, Denton, Grayson, Johnson, Parker and Tarrant counties. MedicalEdge employs more than 280 physicians and more than 140 physician extenders and other mid-level health professionals, many of them involved in providing primary care.
"This is the right time for this to happen," said Clay Heighten, M.D., former president of MedicalEdge Healthcare Group. "Most people have probably never heard of MedicalEdge but we have quietly built a medical group of more than 420 providers and other medical professionals. Now those doctors and their patients will benefit from the capabilities we now have as part of a comprehensive health system."
"Physicians are intimately involved and included in the operations and planning for new health care accountability within Texas Health," said Michael Stoltz, M.D., president, Texas Health Physicians Group. "Patients and their families want their doctors involved in health care decisions. By aligning more closely with physicians, we believe Texas Health will be prepared for whatever changes result from national health care reform, and ultimately that will benefit the patients."
Texas Health MedSynergies (THM), a joint venture between MedSynergies and Texas Health, will continue to provide management services supporting Texas Health Physicians Group with the addition of PhyServe.
"We are proud of the partnership we have with Texas Health Resources," said JR Thomas, president and chief executive officer, MedSynergies. "Through this relationship, we have built a solid foundation of physician services for Texas Health Physicians Group, and we look forward to expanding these services and offerings with the addition of PhyServe."
"We have searched for some time for the right partner to join forces with that will better prepare us for health care reform," said Carl Soderstrom, former president of PhyServe Physician Services. "Texas Health Physicians Group provides a stable, exciting work environment for physicians. We celebrate joining with Texas Health Physicians Group and look forward to growing with Texas Health Resources."
Acquisition of MedicalEdge and PhyServe will add more than 2,300 people to the Texas Health family. MedicalEdge brings several ancillary services to Texas Health, including sleep lab services, infusion services, diagnostic imaging and chiropractic services.
The Texas Health Board of Trustees approved the acquisition Nov. 16, and the transaction closed Dec. 31. Terms of the acquisition are not being publicly disclosed.
About Texas Health Resources
Texas Health Resources is one of the largest faith-based, nonprofit health systems in the United States. The health system includes 24 acute care and short-stay hospitals that are owned, operated, joint-ventured or affiliated with Texas Health Resources. It includes the Texas Health Presbyterian, Texas Health Arlington Memorial and Texas Health Harris Methodist hospitals, a large physician group, outpatient facilities, and home health, preventive and fitness services, and an organization for medical research and education.
For more information about Texas Health Resources, call 1-877-THR-WELL, or visit www.TexasHealth.org.
About MedSynergies Inc.
MedSynergies partners with health care organizations and physicians to align their operations by providing revenue cycle management, practice management, consulting services, business process analysis and software integration solutions. Leveraging its knowledge and experience in hospital-physician alignment, MedSynergies improves processes, optimizes technology and builds on trusted patient relationships, enabling hospitals and physician practices to offer quality health care. Founded in 1996, MedSynergies is privately held and headquartered in Irving, Texas. MedSynergies currently partners with hospitals and health networks and serves more than 5,600 providers across the United States. For more information, please visit www.medsynergies.com.
SOURCE Texas Health Resources