Private equity might dodge state laws by partnering with healthcare nonprofits

The partnership between a private equity-backed company and a local nonprofit hospice highlights a growing trend where private equity firms may be circumventing state regulations by aligning with healthcare nonprofits. This arrangement, termed a "joint venture," allows the private equity firm to maintain control while presenting the partnership as a collaboration between two nonprofits. This strategy raises concerns about the integrity of nonprofit missions and the potential for prioritizing profit over patient care, which could significantly impact healthcare accessibility and quality. The implications suggest a need for stricter oversight on such partnerships to safeguard public health interests.