There are many critical issues facing the physician practice management (PPM) and ambulatory surgery center (ASC) industries today, including the effects of sky-high valuations, concerns about sustainability, and the importance of delivering on value. This current environment demands new approaches to PPM structures — one that is focused on alignment and designed to enable growth.

Below are five key market issues to be addressed at the 2018 Physician Practice Management & ASC Symposium in Nashville, TN on April 25-26, where industry leaders will come together to discuss trends in the current landscape and the myriad business, transactional and regulatory issues that exist today, including: Continue Reading 5 Key Topics Explored at McDermott’s 2018 PPM & ASC Symposium

Specialty pharmacy is not going away any time soon – by 2020, it’s expected that the pharmacy industry’s revenue will exceed $483 billion, with almost all growth as a result of specialty drugs (high-cost medications used to treat chronic conditions, such as cancer). It’s also estimated that the next generation of pharmaceutical “blockbusters” will be primarily specialty products. As the make-up of the pharmaceutical market shifts, we’re also seeing changes with the role of pharmacy benefit managers and other medical groups in the process. How are these shifts in specialty pharmacy impacting the health care system as a whole?

We asked Karen Gibbs, McDermott partner and former VP and Senior Counsel at CVS, to share her expertise on the subject and her thoughts on what’s to come.

Q.  Investments in niche sectors of pharmacy services, specialty pharmacy and pharmacy benefit management have gained huge traction recently. What’s driving the shift away from more traditional pharmacies?   

A.  Traditional pharmacies are retail establishments and have been suffering from the same earnings pressure that all retail establishments have endured. Pharmacy benefit managers (PBMs) typically own mail and specialty pharmacy operations, which generate revenue in a manner complementary to that derived from the pharmacy benefit management services. The margin on specialty pharmacy and PBM services is significantly more than retail pharmacy. Continue Reading Q&A: Shifting Trends in Specialty Pharmacy to Continue in 2018

Since the announcement in late January that Amazon, Berkshire Hathaway and JPMorgan were teaming up to “disrupt health care,” the intersection of health and business has been top of mind for many. As we wait with bated breath to see just how (or if) they revolutionize the industry, the conversation continues about other potential disruptors and trends on the health care horizon.

Earlier this month, McDermott Will & Emery hosted the 2018 Health Care Services Private Equity Symposium, where participants explored the various business and legal perspectives impacting the health care field. I had the pleasure of moderating a panel discussion at the event entitled “Hot or Not? A Health Care Sector Analysis,” where I joined a handful of experienced investment minds to explore key trends in health care private equity in 2018. Continue Reading Where Health and Investment Collide: Health Care Private Equity Trends to Watch in 2018