Illinois-based multi-specialty physician group DuPage Medical Group (DMG), said it raised $1.45 billion from Los Angeles-based global private equity firm Ares Management LP (NYSE: ARES). The funds will be used to support growth initiatives of DMG Practice Management Solutions, and DMG’s subsidiary, Boncura Health Solutions. DMG physicians will retain a significant ownership stake in the practice management company.
As part of the deal, Ares acquired private equity firm Summit Partners’ stake in DMG Practice Management Solutions.
Founded in 1999, DuPage Medical Group is the largest independent, multi-specialty physician group with more than 600 physicians in over 80 suburban Chicago locations.
Founded in 2011, Boncura serves more than 5,500 physician providers and partners, managing upwards of 350,000 lives, and processing more than seven million claims annually.
“As DMG continues to grow in size and scale, it is critically important for our organization to remain independent and physician-led,” said DMG CEO Mike Kasper. “Ares understands and supports our core mission, which is to maintain and enrich our patient-focused, doctor-directed culture. This partnership, which will particularly benefit our subsidiary Boncura, provides unprecedented access to capital and strategic backing for DMG’s growth initiatives, such as population health, expansion into new geographies and additional service offerings.”
“We are extremely excited to welcome Ares as our partner, as DMG continues to grow to become the best group for all physicians and patients both within the Chicago area as well as nationally,” commented Dr. Paul Merrick, President and Chairman of DMG.
Founded in 1997, Ares Management is a publicly traded, leading global alternative asset manager with approximately $104 billion of assets under management as of June 30, 2017 and more than 15 offices in the United States, Europe, Asia and Australia.