RadNet today announced that they have formed a joint venture.
LOS ANGELES, Dec. 18, 2017 (GLOBE NEWSWIRE) -- RadNet (NASDAQ:RDNT), a national leader in providing high-quality, fixed-site outpatient diagnostic imaging services through a network of 298 owned and/or operated outpatient imaging centers, and MemorialCare, a nationally regarded integrated health care delivery system with five hospitals and more than 200 care sites in Southern California, today announced that they have formed a joint venture. The joint venture, with 34 outpatient imaging centers spanning all of Orange County, Long Beach, the South Bay and other cities in Southern Los Angeles County, will become Southern California’s largest imaging network.
Under the joint venture, with operations beginning January 1, 2018, RadNet will contribute 24 existing outpatient imaging centers in Orange County, Long Beach, the South Bay and other Southern Los Angeles County cities and MemorialCare will contribute 10 outpatient imaging facilities in many of those markets. Upon commencement of operations, RadNet will be the majority owner of the joint venture, manage the day-to-day operations of the facilities and provide the administration and back-office support functions on behalf of the partners.
In addition to developing a comprehensive imaging network in Orange County, Long Beach and cities throughout Southern Los Angeles County, the new partnership will allow for significant operating system efficiencies and improved patient access and care. The partnership will include the adoption of RadNet’s eRAD Radiology Information System at all locations and integration and coordination of the radiologist professional component of the service offering.
In addition, the joint venture has entered into a capitation arrangement to exclusively provide imaging to approximately 200,000 managed care lives who are currently patients of medical groups that MemorialCare owns or manages. These patients will receive their imaging needs in the jointly owned network of centers.
“We are excited to announce the expansion of our health system partnership model in California with such a high-quality and well-known health system,” says Howard Berger, M.D., Chairman and Chief Executive Officer of RadNet. “MemorialCare is one of the premier providers of hospitals and related health care services in Southern California. With the establishment of this joint venture, our combined network of 34 centers will bring an extensive network of imaging centers providing quality care and easy access to the substantial patient communities we jointly serve. We are also excited to be working with the referring physicians located throughout the communities of Orange County and Long Beach to ensure their patients have access to convenient, cost-effective care. We also look forward to expanding our managed care offering, a patient-centered contracting model that has been built and refined over a period of more than 20 years.”
“This is a significant advancement in MemorialCare and RadNet’s shared commitment to value-based health care—offering consumers high-quality, competitively priced care,” says Barry Arbuckle, Ph.D., President & CEO of MemorialCare. “These 34 free-standing imaging centers, in addition to MemorialCare’s highly-advanced hospital-based imaging centers on each of our hospital campuses, offer state-of-the art care in the most appropriate, convenient location, either at an acute care setting and/or an outpatient facility close to home and work. MemorialCare has a long history of partnering with innovative health care organizations that share its vision of delivering best practice medicine, improving population health and creating value in the ever-changing health care environment. This innovative partnership with RadNet is another example of our commitment to offering high value care that results in higher quality, enhanced patient experience and savings for individuals and families, health plans and employers and their employees.”
About RadNet, Inc.
RadNet, Inc. is the leading national provider of free-standing, fixed-site diagnostic imaging services in the United States based on the number of locations and annual imaging revenue. RadNet has a network of 298 owned and/or operated outpatient imaging centers. RadNet’s core markets include California, Maryland, Delaware, New Jersey and New York. In addition, RadNet provides radiology information technology solutions, teleradiology professional services and other related products and services to customers in the diagnostic imaging industry. Together with affiliated radiologists, and inclusive of full-time and per diem employees and technicians, RadNet has a total of approximately 7,300 employees. For more information, visit radnet.com.
About MemorialCare
MemorialCare focuses on value-based health care, offering the highest quality at a lower price point and providing a simply better patient experience. The nonprofit, integrated health system with 14,000 affiliated physicians, employees and volunteers and more than 200 care locations in Southern California includes five hospitals—Long Beach Medical Center, Miller Children’s & Women’s Hospital Long Beach, Community Medical Center Long Beach, Orange Coast Medical Center in Fountain Valley and Saddleback Medical Center in Laguna Hills; MemorialCare Medical Group, Greater Newport Physicians; numerous physician practices; and ambulatory surgery, imaging, dialysis and urgent care centers. To learn more, visit memorialcare.org.
Contacts:
RadNet, Inc.
Mark Stolper
Executive Vice President and
Chief Financial Officer
310-445-2800
Rhoda Weiss
MemorialCare
562-335-6332
rweiss@memorialcare.org
