Radiology Partners, a physician-led and physician-owned radiology practice, has raised $234 million in funding. New Enterprise Associates and Future Fund led the round.
El Segundo, CA (March 9, 2018) – Radiology Partners, (RP), the largest physician-led and physician-owned radiology practice in the U.S., today announced it has closed a $234 million growth equity funding round. Radiology Partners plans to use the funds to support continued growth by scaling operations, investing in its evidence-based clinical programs and expanding in both existing and new markets.
The financing was led by existing investors New Enterprise Associates, Inc. (NEA) and Future Fund, in addition to significant participation from RP physicians and support team leadership, including new board member, and former GE CEO, Jeffrey Immelt.
“We are very excited to announce this latest round of funding led by world-class investors who believe in and understand the value of our mission,” said Rich Whitney, Radiology Partners’ Chairman and CEO. “Our partners financial support and alignment with our physicians are critical ingredients that position us to have an increasingly important impact on our field.”
Established in 2012, Radiology Partners focuses on enhancing value for its clients, payers and patients through development of innovative programs to advance improvements in clinical quality and optimize resource utilization. Using a variety of evidence-based clinical programs, RP has demonstrated its commitment to a patient-first approach, ensuring consistent delivery of top quality radiology care.
“Radiology Partners’ continued success demonstrates the value a large-scale, single-specialty practice brings to the market,” said Mohamad Makhzoumi, General Partner, head of global healthcare services at NEA and RP Board Member. “We are pleased to continue to support the work of this talented team of physicians and other professionals. They have emerged as the clear leaders in the radiology field through an intense focus on clinical innovation, a commitment to developing great physician leaders and the intentional fostering of a culture of physician engagement, leadership and ownership.”
This latest additional financing follows the previously announced $200 million equity raise in May 2017. In both investment rounds, a significant number of RP’s leadership and physicians increased their investment by participating alongside the institutional investors. RP believes that to achieve its full potential as a practice, it is important that the organization not just be physician-led, but also be physician-owned. The combination of additional investments from internal physicians, staff, and NEA, along with funding from newer investors is further affirmation of the attractiveness of RP’s model.
About Radiology Partners
Radiology Partners, a leading onsite radiology practice, is the largest physician-led and physician- owned radiology practice in the U.S., serving approximately 500 hospitals and other healthcare facilities across the nation. As a physician-led practice, our mission is to transform radiology by innovating across clinical value, service, and economics, while elevating the role of radiology and radiologists in healthcare. Using a proven healthcare services model, Radiology Partners provides consistent, high quality care to patients, while delivering enhanced value to the hospitals, clinics, imaging centers and referring physicians we serve. Learn more at www.radpartners.com.
New Enterprise Associates, Inc
New Enterprise Associates, Inc. (NEA) is a global venture capital firm focused on helping entrepreneurs build transformational businesses across multiple stages, sectors and geographies. With nearly $17 billion in cumulative committed capital since the firm’s founding in 1977, NEA invests in technology and healthcare companies at all stages in a company’s lifecycle, from seed stage through IPO. The firm’s long track record of successful investing includes more than 200 portfolio company IPOs and more than 320 acquisitions since its founding in 1977. In the U.S., NEA has offices in Menlo Park, CA; Boston, MA; New York, NY; Chicago, IL; and the Washington, D.C. metropolitan area. In addition, New Enterprise Associates (India) Pvt. Ltd. has offices in Bangalore and Mumbai, India and New Enterprise Associates (Beijing), Ltd. has offices in Beijing and Shanghai, China. For additional information, visit www.nea.com.
About Future Fund
The Future Fund is Australia’s sovereign wealth fund and invests for the benefit of future generations of Australians. The Future Fund was established in 2006 to strengthen the Australian Government’s long-term financial position and currently manages approximately A$140 billion. The organization also manages four additional public asset funds, including the Disability Care Australia Fund, the Medical Research Future Fund and two Nation-building Funds. The Fund operates independently from Government and tailors the management of each fund to its unique investment mandate. For more information, visit http://www.futurefund.gov.au/.