Private Equity to Acquire Healthcare Revenue Cycle Management Firm

Bertram Capital, a private equity firm in Palo Alto, California, has taken a majority interest in Physicians Management Group LLC ("PMG"), a leading provider of revenue cycle management services to the healthcare industry. 

Based in Los Angeles, PMG has developed unique expertise at coding, billing, and collecting on complex healthcare claims for surgeons, ambulatory surgery centers, hospitals, and other specialty physician practices.  Today, the company provides services to nearly 400 different healthcare providers and facilities across the country. 

"Simply put, it pays to work with an expert. And no one has the expertise of PMG," said Dr. Ken Drazan, Managing Director of Bertram Capital and a former surgeon himself.  "There are 5,000 outpatient surgery centers in the United States, and most still perform their revenue cycle functions in-house with unsophisticated staff whose incentives aren’t always aligned with the interests of the practice.  Throughout the industry, the need for a trusted financial partner is clear.  We’re excited to help PMG realize its full potential by becoming part of that solution."

"After 15 years at the helm of PMG, I am excited to bring aboard Bertram Capital as a partner in the growth of this company," said Dr. Aaron Sones, CEO of PMG.  "They understand healthcare, the reimbursement climate, and the challenges faced by physicians.  Their principals bring operational and strategic expertise and, equally important to me, a commitment to PMG’s existing customers, employees, and ideals."