Navigating Healthcare Consolidation in a Post-COVID World With Robert Aprill of Physician Growth Partners

The Corner Series

After an active 2022, this year has seen a shift in the PPM space. There are now challenges around the cost of capital, pricing, and labor. Some who raised a lot of capital in 2022 will still be looking for deals, while others are more cautious, putting more emphasis on valuation and financial performance.

On this episode of The Banker's Corner, McGuireWoods' Geoff Cockrell sits down with Robert Aprill, Managing Director at Physician Growth Partners, to share insights on how the market might evolve in 2023 and beyond. Robert’s focus on helping physicians and physician-led businesses navigate private equity within their medical specialty gives him a front row seat to the headwinds this sector is facing currently.

The aftermath of COVID has led many business owners to reevaluate the importance of size and scale in their operations; they are now more open to considering partnering with larger entities to navigate uncertain futures.

The role of advisors in private equity is to educate clients about various compensation and alignment options when considering partnerships with healthcare platforms. The focus is on an equity perspective and a comp perspective to ensure that physicians are partners and are compensated based on their performance and the practice's performance, promoting alignment through incentives rather than punitive measures like production thresholds.

“We spend a lot of time with our clients. I think oftentimes with us, we're presenting something versus having buyers present something to us,” explains Robert.

The two also discuss areas of consolidation, interest in niche specialties, and aligning equity with compensation.

Featured Guest

Name: Robert Aprill

What he does: Robert is a Managing Director at Physician Growth Partners. With prior experience as a healthcare investment banker, he now advises founder- and provider-owned businesses in the healthcare services industry as they prepare for and ultimately pursue a transaction.

Organization: Physician Growth Partners

Connect: LinkedIn

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