Envision Healthcare exits imaging, with its 400 radiologists joining Rad Partners
Multispecialty physician group Envision Healthcare is exiting imaging, with its 400 radiologists joining industry giant Rad Partners, the two announced Wednesday morning.
The nation’s largest radiology practice—now employing 4,000 physicians—also has inked a “transition agreement” with Envision. This will grant its nearly 100 client care sites the option of continuing contracts with Rad Partners to ensure a seamless transition.
Both sides emphasized this is not an acquisition but declined to disclose financial terms of the deal.
“After carefully evaluating whether Envision was the right home for the radiology service line and the teams supporting it, we determined that they would have more opportunities to thrive under management dedicated to radiology,” a representative for the Nashville, Tennessee-based multispecialty group told Radiology Business. “We are extremely proud of the high-quality care the clinicians provide and the impact they have had on so many patients,” they added later, emphasizing Envision is “committed to ensuring patients continue to receive that care when they need it most as we advance through this process.”
Envision’s radiology team handled about 6 million studies last year, with the company also operating in emergency and hospitalist medicine, anesthesiology, and neonatology. Rad Partners said it’s working to onboard the team of new radiologists while “reinforcing its commitment to local care delivery, clinical excellence and strong operational partnerships.”
“As the transition unfolds throughout 2025, RP is focused on earning the trust of Envision radiology clients—demonstrating RP’s value through clinical excellence, technology innovation, operational reliability and continuity of care,” Rad Partners said in an announcement Wednesday. “Concurrently, the practice is committed to welcoming Envision radiologist and support teammates thoughtfully, knowing that exceptional patient care begins with empowered teams and strong local relationships."
Envision Healthcare was founded in 1979 and acquired by private equity firm KKR in 2018 through a leveraged buyout (about 71% debt) worth $9.9 billion. The move gave Envision access to capital to fuel expansion, but it also saddled the company with debt, leading to an eventual bankruptcy filing in May 2023. It later emerged from Chapter 11 in October of the same year after eliminating 70% of its obligations. Envision built its radiology group through a series of acquisitions including adding Decatur (Ill.) Radiology Physicians in 2018, and Sunshine Radiology and Imaging Advantage in 2017. The latter more than doubled its radiologist count to 800 at the time, handling over 10 million studies.
Rad Partners also participated in another multispecialty provider’s exit from radiology in 2020. Amid COVID-related care stoppages, Mednax in June of that year announced plans to divest from diagnostic imaging, with Rad Partners acquiring the business line for $885 million by December.
RP is backed by Whistler Capital Partners and New Enterprise Associates, servicing about 3,400 facilities across the U.S.
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.