Private equity-backed Outpatient Imaging Affiliates launching network of centers through joint venture
Outpatient Imaging Affiliates, an investor-backed radiology group, is launching a network of centers through a new hospital joint venture.
The Nashville, Tennessee-based business is teaming with the Medical University of South Carolina to open multiple locations across the Palmetto State. OIA said the move will support the academic health system’s growing network of physicians, hospitals and other locations.
MUSC landed on Outpatient Imaging Associates following a competitive search process. They’ll seek to improve the patient experience and outcomes while bolstering access through the partnership.
“The more we got to know [Outpatient Imaging Associates], the more we were convinced they were the right choice to help us achieve our goals,” Chad Wiggins, MUSC Health’s system administrative officer, radiology, said in an announcement March 3.
They’re currently working to open several newly constructed imaging centers in South Carolina. OIA’s primary business model is hospital joint ventures, with the organization operating 43 centers via partnerships with 16 hospitals across 11 states. The company typically takes a minority position while assuming full responsibility for the development, operations, marketing and revenue cycle functions at each imaging center.
London-based Cranemere Group acquired Outpatient Imaging Affiliates from ICV Partners in 2021 via a deal valued at $400 million. Cranemere bills itself as an alternative to traditional PE, avoiding the “pitfalls of short-termism” and burdens of “excessive leverage.” The firm is structured as a holding company and typically buys with the intent to keep its assets permanently. Cranemere also owns Irving, Texas-based Northstar Anesthesia after acquiring a majority stake in 2018.
OIA was originally founded in 2000 and acquired by ICV in 2018 prior to the more recent sale. Its other health system joint venture partners include MedStar, Jefferson Health, UVA Health, and Vanderbilt. OIA recently announced an expansion of its affiliation with Atrium Health Wake Forest Baptist in August.
Marty Stempniak has covered healthcare since 2012, with his byline appearing in the American Hospital Association's member magazine, Modern Healthcare and McKnight's. Prior to that, he wrote about village government and local business for his hometown newspaper in Oak Park, Illinois. He won a Peter Lisagor and Gold EXCEL awards in 2017 for his coverage of the opioid epidemic.