Leading Radiology Forward
Industry Consolidation and Rationalization
"Mom-and-pop" lack necessary economies of scale
• Not well capitalized and have a higher cost structure
• Single-modality facilities that are more impacted by
reimbursement changes and competition from
multi-modality facilities
• Unable to do network contracting or capitate with payors
Higher facility accreditation/quality standards
Fear of survival and many more sellers than buyers result in
attractive acquisition multiples
• Marginal operators are choosing to close and others can
be acquired at 3x-5x EBITDA
• Operators want to be consolidated into RadNet, which
offers long-term stability
Few other acquirers in RadNet's core markets
NEW YORK
RADIOLOGY
PARTNERS
In 2015-2019, we
completed over
$185mm of acquisitions
•
New York Radiology Partners
•
California Radiology
•
•
Diagnostic Imaging Group
Diagnostic Imaging Associates of
Delaware
Medical Arts
Kern Radiology
We have also been
expanding through
health system joint
ventures, particularly
in CA
•
California
Radiology
Doshi Diagnostic
Diagnostic
Imaging
Associates
MEDICAL ARTS
KR
RADIOLOGY
KERN
RADIOLOGY
•
COS
●
Cedars Sinai
MemorialCare
Dignity Health
RadNet.
CEDARS SINAL. MemorialCare
Leading Radiology Forward
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