Equity firm invests $250 million in DuPage Medical Group
Downers Grove-based DuPage Medical Group is getting a $250 million investment through a partnership with Boston-based global equity firm Summit Partners, the physicians group announced Tuesday.
The investment, a combination of equity and debt, will be used to support growth initiatives through DMG's practice management company, DMG Practice Management Solutions/Midwest Physician Administrative Services, the physicians group said in a release.
DMG will remain physician-owned and will maintain majority ownership in DMG Practice Management Solutions/MAPS. Darren Black, a managing director at Summit Partners, will join the DMG Practice Management board.
"This partnership provides access to capital and strategic support for DMG's growth initiatives - including population health, expansion into new geographies and opening additional clinical lines of service - and will help to enhance our ability to reach and treat patients," said DMG CEO Mike Kasper.
The largest independent physicians group in the Chicago area, DMG has more than 480 physicians and operates 60 locations in the west and southwest suburbs.
Employees and patients will notice few changes as a result of the partnership, according to Kasper. Physicians, physician extenders, therapists and designated health services, such as diagnostic imaging and radiation oncology, will all remain within DMG.
"For an independent, physician-led group of DMG's scale and size to retain its majority ownership after such a significant investment is unprecedented," Kasper added. "Summit Partners understands that our patient-focused, doctor-directed culture is crucial to our mission, and they are completely supportive of it."
The board of directors of DMG Practice Management Solutions will be comprised of seven members, four of whom are physicians. DMG will continue to be governed by its current board, who are practicing physicians.
"Mike and the entire team at DuPage Medical Group have done a remarkable job in building this business - embracing technology and truly setting the standard for patient care in one of the nation's biggest health care markets," said Black. "We are thrilled to partner with this exceptionally innovative health care company and to support its growth going forward."
DMG was advised in the transaction by Cain Brothers.
• News services contributed to this report.