Hospitals owned by private equity see complications spike 25%

A study published in the Journal of the American Medical Association reveals that hospitals acquired by private equity firms experience a 25% increase in adverse events compared to non-acquired hospitals. The research also suggests that all of the hospital-acquired conditions they studied increased three years after a private equity acquisition compared to control hospitals. This study adds to a growing body of literature highlighting the negative impact that private equity buyouts have on healthcare providers, including hospitals, nursing homes, hospice care, and physician practices, increasing costs and reducing quality.

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