The Midwest has been a region that has drawn some attention from larger orthopedic groups in recent years.
Fourteen major private equity-backed orthopedic groups have hit the market since 2017, according to the Journal of Orthopaedic Experience & Innovation, and many of them have snapped up groups in the South and Northeast.
But some orthopedic practices in the Midwest have also turned their eyes to consolidation options.
Of the 14 private equity-backed orthopedic MSOs that have cropped up, six have a foothold in the Midwest — OrthoAlliance, Orthopedic Care Partners, Healthcare Outcomes Performance Company, Unity MSK and USOP.
This year, OrthoMidwest and PELTO Health Partners have bolstered their reach in the region. Peoria, Ill.-based OSF Health signed a clinical co-management agreement with OrthoMidwest, which was formed in 2023 when Chicago-based Midwest Orthopaedics at Rush and Rockford-based OrthoIllinois aggregated. And OrthoCincy joined PELTO Health Partners, which banded with groups across the country in 2023.
PELTO Health Partners and OrthoMidwest both provide a new option for orthopedic practices who want to join a larger organization without selling to private equity.
"This is a way to help guarantee our future in staying independent," JoAnn Reis, CEO of OrthoCincy, told Becker's. "It's very important to any independent practice out there that we are able to stay independent. We've become a part of a very small world out there, but we find it important to stay this way."