Gastroenterology is a service line with unlimited potential for growth, according to Levin Associates. The expanding patient need for services, combined with advancements that allow more procedures to be performed in outpatient settings, have made gastroenterology an attractive target for investors.
“I think the most obvious tailwind that’s driving a growth in demand for GI services is screening colonoscopies and lowering the age to 45,” said Robbie Allen, the CEO of One GI, which is one of the largest physician-centric management services organizations in the GI space. “No question that the increase in patient demand has been the growth driver for the field. Plus, the ability to provide even more services in outpatient settings is attractive to private equity groups.”
Private equity firms are also attracted to the host of ancillary services offered by gastroenterologists. Read more.