NorthStar Anesthesia, a leading national anesthesia management company, announced that it has recently secured a significant investment from TPG Growth, the middle market and growth investment platform of TPG. TPG Growth now holds a controlling stake in NorthStar; no terms of the transaction were disclosed.
NorthStar also announced that healthcare services industry leader Chris Riopelle has recently joined the company as CEO. The Company’s co-founders Philip W. Eichenholz, MD, and Neil Dwayne Neal, CRNA, remain as senior members of the Company’s management team as President and Executive Vice President, respectively.
“The anesthesia management industry is an approximately $20 billion market and provides one of the most critical services to hospitals and patients. By leveraging TPG Growth’s investment and business acumen, NorthStar is well-positioned to accelerate its growth trajectory and become a dominant player in the industry,” said NorthStar CEO Riopelle.
“The anesthesia management industry is undergoing tremendous transformation as hospitals, facing additional pressure by the Affordable Care Act, seek to further reduce costs and increase efficiencies, while maintaining the highest quality of care,” said Matthew Hobart, a Partner at TPG Growth. “We expect to see continued consolidation in this space, with NorthStar at the forefront of this trend.”
“We welcome Chris and TPG Growth, and know that by leveraging their deep experience in operating and managing businesses in the healthcare space, NorthStar has the opportunity to become the undisputed leader in anesthesia management,” said NorthStar President and Co-Founder Eichenholz.
Mr. Riopelle, 44, has nearly 20 years of experience in the healthcare industry with a proven track record in operations, physician practice management, compliance, revenue cycle management and business development. Prior to joining NorthStar, he spent 10 years as a senior executive with DaVita, a Fortune 350 healthcare services company. Mr. Riopelle also served as COO of La Vie Care Centers, a private equity-backed $1 billion skilled nursing company.
About TPG Growth
TPG Growth is the middle market and growth equity investment platform of TPG, the global private investment firm. With $3.5 billion under management, TPG Growth targets investments in a broad range of industries and geographies. The firm is backed by the resources of TPG, which has $55.3 billion of assets under management. TPG has particular expertise in healthcare with investments including Par Pharmaceutical Companies, Biomet, Evolent Health, IASIS Healthcare, Healthscope Limited, Sutures India Pvt Ltd, Surgical Care Affiliates, IMS Health, Quintiles Transnational, Oxford Health Plans and IMDSoft. TPG Growth has offices in the United States, China and India. For more information, visit www.tpggrowth.com.
About NorthStar Anesthesia
With over 50 facilities operating in eight states, Arlington, Texas-based NorthStar Anesthesia is one of the fastest growing anesthesia management companies in the country. NorthStar’s performance-driven approach combines quality anesthesia care with the efficiency and accountability that hospitals require. This approach sets NorthStar apart from the competition and ensures better service for all of its clients which include: hospital administrators, surgeons, and patients. NorthStar was founded in 2004 by an Anesthesiologist and a CRNA, and currently employs over 600 providers. For more information, visit www.northstaranesthesia.com.