Dermatology practices are undergoing a sea change in the United States as private equity groups furiously gobble up ownership in a race for expansion. What does this mean for the dermatology practice?
Emily Margosian, Assistant Editor at the American Academy of Dermatology, writes a fabulous summary of the consolidation trends and impacts nationwide. TrialSite News summarizes the article’s topics, but we highly recommend that anyone interested in dermatology practices (and dermatology clinical research sites) read Ms. Margosian’s article. It offers a wealth of information that only an insider can provide.
She first introduces the consolidation trends in the dermatology practice space. They are real as there has been acquisition after acquisition. Thereafter, she introduces why practice leads decide to do deals. She then moves on to “Navigating the Sale” offering tips and tricks for dermatology practice owners as to the in and out of deal-making with private equity. She then introduces the “Pros and Cons” of selling the practice to private equity with loads of good practical details.
Ms. Margosian offers a valuable list of dermatology practices around the United States including a list of the largest private equity transactions of dermatology practices including:
- Advanced Dermatology and Cosmetic Surgery acquired for $600 million by Harvest Partners
- Forefront Dermatology acquired for $450 million by OMERS Private Equity
- US Dermatology Partners acquired for $300 million by ABRY Partners
- Dermatology Solutions Group acquired for $58 million by Cressey & Company
- Schweiger Dermatology Group acquired for $35 million by SV Health Investors
- Riverchase Dermatology acquired for $33 million by GTCR LLC
- QualDerm Partners acquired for $31.8 million by Cressey & Partners and Apple Tree Partners
Most of these practices will also maintain GCP/FDA compliant clinical research operations—a highly relevant point for the TrialSite News audience. For that industry, academic or non-profit collaborative network or government sponsors involved in dermatology clinical research we believe it is important to keep updated on the dermatology practice market in the United States.