Optum Care acquires physician group from struggling Steward Health Care

Steward Health Care’s Financial Struggles: Senator Markey Calls for Healthcare System Reform

Steward Health Care, a struggling healthcare provider in Massachusetts, has sold its physician group to Optum Care for an undisclosed amount. The sale comes after the company, which operates nine healthcare facilities in the state, faced financial instability due to accumulated debt. Previously owned by Cerberus Capital Management, Steward made $800 million in profit from the company’s sale.

Senator Edward J. Markey expressed concerns about Steward’s financial situation and its impact on hospitals in Massachusetts and beyond. He urged the company to prioritize patient care over financial gain and called for reform of the healthcare system to address these issues. Markey is the chair of the Senate HELP Subcommittee on Primary Health and Retirement Security and has invited Steward CEO Dr. Ralph de la Torre to testify at a congressional hearing in Boston on April 3.

The senator criticized the healthcare system for prioritizing profit over patient outcomes and emphasized the importance of moving away from Steward’s financial instability for the sake of patients and providers. He believes that reform is necessary to ensure that healthcare providers operate with transparency and accountability, rather than solely focused on maximizing their profits.

Stewart Health Care will continue to operate its nine facilities in Massachusetts under Optum Care ownership, but it remains unclear how this will affect the company’s financial stability or patient care quality. For more information about this story, contact SMorse@himss.org

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