Five US medical groups have committed $10m to the Heritage Healthcare Innovation Fund to take minority stakes in technology companies focused on the sector.
Community Health, LifePoint Hospitals, Vanguard Health Systems, Iowa Health System and Trinity Health, which in aggregate have more than 400 hospitals, will provide the money, according to news provider The Tennessean.
As well as investing up to $10m in early- and growth-stage healthcare businesses, the fund, managed by Heritage Group, will also develop companies designed to solve problems faced by hospitals, such as healthcare reform.
Initial Limited Partners:
Community Health Systems ››
Community Health Systems (CHS) is one of the nation’s leading operators of general acute care hospitals. The company is affiliated with over 126 hospitals in 29 states, and have approximately 19,400 licensed beds. In addition to operating, owning, and leasing these hospitals, CHS also provides a wide range of management services to more than 150 independent hospitals and healthcare systems. The company, which was founded in 1985, is headquartered in Franklin, TN.
Iowa Health System ››
Based in Des Moines, Iowa Health System is the state’s largest integrated healthcare system, offering the broadest range of healthcare service to Iowa and western Illinois. The system is affiliated with 25 hospitals, more than 140 physician clinics, 14 senior affiliate locations, and three accredited colleges of nursing and allied health fields. With annual revenues of $2bn, Iowa Health System is the sixth largest nondenominational health system in America.
LifePoint Hospitals, Inc. ››
LifePoint Hospitals is a leading hospital company focused on providing quality healthcare services close to home. Through its subsidiaries, LifePoint operates 52 hospital campuses in 17 states. The company is the sole community hospital provider in the majority of the communities it serves and generates more than $1.5bn in revenues annually. LifePoint was formed in 1999 and is headquartered in Brentwood, TN.
Trinity Health ››
Trinity Health, headquartered in Novi, Michigan, is one the largest Catholic-affiliated healthcare systems in the nation. The system has 19 ministry organizations in nine states, including 46 hospitals, 379 outpatient facilities, 33 long-term care facilities, and various home health, hospice programs, and senior living communities. The system has annual revenues of $7bn and was formed in 2000 by the consolidation of Mercy Health Services and Holy Cross Health System.
Vanguard Health Systems ››
Vanguard Health Systems, founded in 1997, is a privately-operated hospital company located in Nashville, TN. The system includes 18 hospitals and medical facilities in four states: Arizona, Illinois, Massachusetts, and Texas. Vanguard also owns three managed care health plans: Phoenix Health Plan, a Medicaid managed health plan in Arizona; Abrazo Advantage Health Plan, a managed Medicare and dual-eligible health plan in Arizona; and the Chicago Health System, an integrated, risk-bearing provider network in Chicago.