Texas Health Resources acquires physician group, management services company
The push to create a patient-centered medical home is gaining traction in Texas, where one of the state's largest hospital groups has acquired an independent physician practice and the management services organization that oversees the physicians.
Texas Health Resources, a faith-based, non-profit health system comprised of some 24 acute care and short-stay hospitals, has announced the acquisition of the MedicalEdge Healthcare Group, an Irving-based, privately held network of more than 280 physicians and 140 physician assistants and nurses operating out of more than 250 locations in north Texas. In a related move, the Arlington-based network also acquired PhyServe, the management services organization for MedicalEdge, and will sell that company to hospital-physician alignment specialist MedSynergies, Inc.
The deal is considered the second largest of its kind in the country.
Officials from both Texas Health Resources and MedicalEdge said the deal is designed to give thousands of north Texas residents access to a complete healthcare network of hospitals, physician practices and specialists, including sleep lab services, infusion services, diagnostic imaging and chiropractic services.
"Physicians are intimately involved and included in the operations and planning for new healthcare accountability within Texas Health," said Michael Stoltz, MD, president of the 200-member Texas Health Physicians Group. "Patients and their families want their doctors involved in healthcare decisions. By aligning more closely with physicians, we believe Texas Health will be prepared for whatever changes result from national healthcare reform, and ultimately that will benefit the patients."
The deal may also give Texas Health leverage in negotiations with insurers. The network had been involved in a bitter dispute with Blue Cross Blue Shield of Texas during the last few months over rates before the two sides renewed their contract.
Texas Health now features a network of more than 600 physicians and related personnel, slightly larger than its chief competitor, the Baylor Health Care System. The network was created in 1997 through a merger of the Fort Worth-based Harris Methodist Health System and the Dallas-based Presbyterian Healthcare Resources.
"This enables Texas Health to become a 'medical home' for thousands of north Texas patients," said Douglas D. Hawthorne, CEO of Texas Health Resources, in a press release. "Immediately, more than 420 physicians, physician assistants and nurse practitioners will become part of our established and well-respected Texas Health Physicians Group, and the patients of MedicalEdge providers will have easy access to a hospital system dedicated to both quality and accountable medical treatment."