Synopsis: This retrospective cohort study compares postoperative outcomes following esophagectomy between private equity-acquired and nonacquired health centers. The authors found that patients undergoing esophagectomy at private equity-acquired hospitals had worse postoperative outcomes than those treated at nonacquired hospitals.
Summary: In recent years, private equity firms have increasingly acquired outpatient practices and long-term care facilities, aiming to maximize profit and reduce inefficiencies. As these acquisitions expand into acute care hospitals, concerns have arisen about their impact on surgical care delivery, particularly for high-complexity procedures like esophagectomy. This study examines how private equity acquisition influences postoperative outcomes for esophagectomy patients.
The authors used the Medicare Provider Analysis and Review file to identify Medicare beneficiaries aged 65 to 99 who underwent elective esophagectomy between January 2016 and December 2020. The primary outcomes included 30-day mortality, occurrence of any complication, occurrence of serious complications (defined as at least one postoperative complication with a hospital stay exceeding the 75th percentile for esophagectomy), failure to rescue, and 30-day readmission rates. A multivariable logistic regression model was used to adjust for age, sex, Elixhauser comorbidities, procedure type, procedure approach, and year of surgery.
A total of 9,462 patients underwent esophagectomy across 132 private equity-acquired and 822 nonacquired hospitals. Compared to nonacquired hospitals, private equity-acquired hospitals had lower surgical volumes, lower nurse-to-patient ratios, and were less likely to be teaching institutions. Patients at private equity-acquired hospitals tended to have fewer comorbidities. However, after risk adjustment, patients at private equity-acquired hospitals had significantly worse postoperative outcomes, including higher 30-day mortality (8.1% vs. 4.9%, p = 0.002), higher rates of any complication (36.6% vs. 30.1%, p = 0.001), higher rates of serious complications (17.5% vs. 14.3%, p = 0.03), and higher failure-to-rescue rates (5.9% vs. 3.4%, p = 0.004). A sensitivity analysis controlling for hospital volume, using only hospitals in the lowest quartile of annual esophagectomy cases, confirmed that 30-day mortality and overall complication rates remained significantly higher at private equity-acquired hospitals. There was no statistically significant difference in serious complications, failure to rescue, or readmission rates between the two hospital types, though all outcomes favored undergoing esophagectomy at nonacquired hospitals.
There are several limitations to this study. The use of Medicare claims data limits the clinical detail available, making it difficult to accurately account for certain factors, such as oncologic staging and use of multimodal therapy. Institutional-level structural characteristics, such as intensive care unit organization, staffing models, and multidisciplinary care teams, were not fully captured, potentially introducing unmeasured confounding. Since the study population consists only of Medicare beneficiaries aged 65 and older, the findings may not be generalizable to younger patients. Additionally, the timing of private equity acquisitions is unclear, preventing an analysis of temporal associations between acquisition and changes in patient outcomes. Furthermore, additional factors such as surgeon experience, hospital accreditation, and board certification were not analyzed but could significantly impact patient outcomes.
Bottom Line: Patients undergoing esophagectomy at private equity-acquired hospitals may experience worse postoperative outcomes compared to those treated at nonacquired hospitals. Addressing structural and systemic factors may help mitigate these risks. Alternatively, centralizing esophagectomy care to high-volume, nonacquired hospitals with greater surgical expertise may be a more effective strategy.