'These are not altruistic grants': How one spine surgeon views private equity

Spine

Private equity deals will have an important role in spine practices, but physicians should be mindful about the relationship that comes with investments, said David Essig, MD, of New Hyde Park, N.Y.-based Northwell Health.

He told Becker's Spine Review how he sees private equity shaping the spine landscape.

Question: How do you think private equity investment will affect spine practices in the next two to three years?

Dr. David Essig: Private equity can provide a much needed infusion of capital to practices. This can be particularly helpful to those recovering from the pandemic. However, it is important to remember that these are not altruistic grants. Depending on the horizon of the deal, potential savings and clinical benefits may not be realized by the physicians.

Furthermore, such deals may strain relationships between senior partners and their junior counterparts. That being said, I do feel that PE will play an integral role in the future as far as providing helpful insights derived from their experience in other industries that will help us improve the delivery of high quality and cost-effective medical care to our patients.

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