HealthSpan Partners, an affiliate of nonprofit health system Bon Secours Mercy Health, has agreed to acquire Surgery Partners in a transaction valued at approximately $5.7 billion, including debt. The Bon Secours Surgery Partners acquisition will create one of the country’s largest outpatient surgical care platforms as it expands the health system’s presence in outpatient surgical care.
The Surgery Partners HealthSpan deal will take the publicly traded surgical services company private. The Surgery Partners board approved the agreement following a unanimous recommendation from a special committee of independent directors and expects to complete the transaction in the first quarter of 2027.
Under the agreement, eligible Surgery Partners shareholders will receive $23.50 per share in cash.
Surgery Partners Acquisition To Grow Outpatient Surgery Centers
Surgery Partners operates more than 200 locations across 30 US states and has approximately 5,000 affiliated physicians. Its network includes ambulatory surgery centers, surgical hospitals, and physician practices.
An ambulatory surgery center (ASC) is a healthcare facility where patients receive surgical procedures without an overnight hospital stay. These centers provide an alternative to traditional hospital-based surgery for eligible procedures.
Surgery Partners serves several specialties, including:
- Orthopedic and spinal care
- Cardiology
- Gastroenterology
- Ophthalmology
The HealthSpan Partners acquisition of Surgery Partners will extend Bon Secours Mercy Health’s reach beyond its existing hospital network and strengthen its position across a wider range of care settings. The companies aim to combine Surgery Partners’ physician relationships and surgical expertise with HealthSpan Partners’ broader healthcare platform.
John M. Starcher Jr., president and CEO of Bon Secours Mercy Health, said in the press release, “We have an opportunity to strengthen access to more affordable care, support more patients and communities while continuing to advance our mission for years to come.”
Bain Capital’s Continuing Role in Surgery Partners
Private equity firm Bain Capital is Surgery Partners’ largest shareholder and owns approximately 39% of its outstanding shares. Rather than receive the same cash payment as other shareholders, Bain Capital affiliates will exchange their existing shares for equity interests in the acquiring entity.
Bain Capital has also agreed to vote its shares in favor of the Bon Secours Surgery Partners acquisition and will remain a significant partner after closing. Its continued involvement maintains an ownership relationship that began in 2017.
Bon Secours Surgery Partners Acquisition Reflects Healthcare Consolidation
The proposed Bon Secours Surgery Partners acquisition comes as healthcare organizations expand into outpatient services. These facilities can offer convenient care and potentially lower costs for appropriate procedures, attracting interest from nonprofit health systems, commercial insurers and investors.
The Surgery Partners HealthSpan deal may also improve Bon Secours Mercy Health’s negotiating position with health insurers with a larger surgical network, although the actual financial and patient benefits will depend on how the combined business operates.
The companies expect to close the Bon Secours Surgery Partners acquisition deal in the first quarter of 2027, provided they secure the required shareholder and regulatory approvals and satisfy other customary conditions.
After closing, Surgery Partners is expected to retain its name, brand, headquarters, and operational identity. It will also remain a secular organization rather than become a Catholic ministry entity.
