Mass General Brigham Halts Plans for Outpatient Care Expansion

Mass General Brigham this week halted controversial plans to build outpatient care centers in three suburbs outside of Boston, Mass Live reports.

MGB was seeking to spend nearly $2.3 billion on expansions and improvements at two of its existing hospitals, Massachusetts General Hospital and Brigham and Women’s Faulkner Hospital, and on the creation of three new ambulatory sites in Westborough, Westwood and Woburn. However, a 75-page analysis released in January by the Massachusetts Health Policy Commission, an independent state agency, found that the expansions would increase commercial health care spending by at least $46 to $90.1 million, resulting in higher commercial insurance premiums for residents and businesses, drawing ire from competitors in the health care field and from state officials. Read more.

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If recessionary trends continue, PE funds have an opportunity to tailor their strategies to meet current challenges by targeting downturn-resilient investment themes, being more creative in their deal strategies to make transactions happen in a credit-constrained environment, and updating value creation playbooks to respond to near-term headwinds against revenue expansion.