Kaufman Hall Advises Reliant Medical Group on Optum Partnership

SKOKIE, Ill. – June 22, 2017 – Kaufman Hall is serving as the exclusive financial advisor to Reliant Medical Group (Reliant) on its pending partnership with OptumHealth. Reliant is a multi-specialty physician group headquartered in Worcester, Massachusetts with 26 clinical locations across Central Massachusetts. Optum is a health services company that focuses on modernizing health-system infrastructure and advancing the provision of value-based care.

As noted in a recent Industry Flash Report, partnership activity in the physician group sector increased 33 percent last year as these groups look to align themselves with larger entities to strengthen their ability to meet the demands of the evolving industry. 

Reliant’s leadership team first engaged Kaufman Hall to assist with financial planning efforts to determine the organization’s financial capacity to support the development of its new care model and execution of the associated facilities plan. Through that process, Reliant determined that it would best achieve its mission, vision, and strategic plan by partnering with an organization that offers strong strategic resources and complementary capabilities to help ensure the timely implementation of the identified strategic initiatives.

Leadership then turned to Kaufman Hall’s M&A experts to lead the process of identifying and engaging with a strong partner that will help ensure that Reliant’s goals and objectives are met.

A strategic partnership with Optum would bolster Reliant’s ability to grow and expand, modernize many of its clinical facilities, have access to advanced data analytics capabilities, and attract top medical talent to its practices.

“Reliant Medical Group is committed to providing the people we serve the highest level of care, and partnering with Optum will help us give patients innovative, high-quality, local care in ways that maximize efficiency and patient satisfaction," said Tarek Elsawy, M.D., president & CEO of Reliant. 

Reliant and Optum are working toward a definitive agreement with an unknown completion date. Should the agreement move forward, Reliant would continue to be locally operated and serve patients under the Reliant Medical Group brand in the Central and Metro West regions (including Southboro Medical Group, a division of Reliant Medical Group). Reliant’s workforce, including physicians, staff and management, would not change as a result of the transaction. 

To learn more about how Kaufman Hall is assisting healthcare organizations with strategic partnerships, contact Kristofer Blohm at 847.441.8780.

About Kaufman Hall

Kaufman Hall provides management consulting and software to help organizations realize sustained success amid changing market conditions. Since 1985, Kaufman Hall has been a trusted advisor to boards and executive management teams, helping them incorporate proven methods into their strategic planning and financial management processes, and quantify the financial impact of their plans and strategic decisions to consistently achieve their goals.

Kaufman Hall services use a rigorous, disciplined, and structured approach that is based on the principles of corporate finance. The breadth and integration of Kaufman Hall advisory services are unparalleled, encompassing strategy; financial and capital planning; cost transformation; treasury and capital markets management; and mergers, acquisitions, partnerships, and joint ventures.

Kaufman Hall software includes the Axiom Healthcare Suite, providing sophisticated, flexible performance management solutions that empower finance professionals to analyze results, model the future, and optimize organizational decision making. Solutions for long-range planning, budgeting and forecasting, performance reporting, capital planning, and cost accounting deliver decision support, reporting, and analytics within an integrated software platform. Kaufman Hall’s Peak Software empowers healthcare organizations with clinical benchmarks, data, and analytics to provide a higher quality of care for optimized performance and improved patient outcomes.