Steve Wybo: Steward closes $2B acquisition of Iasis’ 18 hospitals – Modern Healthcare
Steve Wybo was quoted in Modern Healthcare‘s article titled “Steward closes $2B acquisition of Iasis’ 18 hospitals.”
The acquisition will give Steward leverage with its suppliers to reduce spending on information technology, capital expenditures and medical supplies, said Steven Wybo, senior managing director of advisory firm Conway MacKenzie.
“Large funds, like Cerberus, believe that there is plenty of opportunity for value creation within the healthcare sector by running the hospitals more like a for-profit business by focusing on streamlining operations, eliminating duplication and managing costs while improving revenue and ultimately profit margins,” he said.
Stand-alone hospitals that operate in one of the 10 states of the combined Steward and Iasis organization have now become sellers or buyers, Wybo said. “Having an extremely large, for-profit competitor in your own backyard will cause you to rethink your stand-alone strategy,” he said.