By Shelby Livingston  | June 11, 2018

Private equity firm KKR on Monday said it would buy physician staffing company Envision Healthcare for $9.9 billion. 

http://www.modernhealthcare.com/article/20180611/NEWS/180619998

The companies expect the deal to close in the fourth quarter of 2018.

The announcement comes after Nashville, Tenn.-based Envision announced a strategic review to enhance shareholder value late last year. According to the announcement, Envision’s board of directors reached out to 25 potential buyers to purchase all or parts of the company, but concluded that KKR’s proposal offered the best value. The deal was approved unanimously by Envision’s board.

“Envision’s leadership team, including both the board and management, have been singularly focused on driving value for our shareholders and have taken decisive action in furtherance of that goal, including the implementation of a comprehensive operational improvement plan and a robust review of strategic alternatives,” Envision President and CEO Christopher Holden said in the announcement. “Today’s announcement reflects the extensive efforts by our team to explore all opportunities to deliver value for our shareholders.”

Nashville-based Envision, with annual revenue totaling $7.8 billion, is the nation’s largest physician staffing firm with 25,000 physicians and other medical practitioners who staff hospital departments, including the emergency department, radiology, anesthesiology and neonatology. The company has come under fire for sending patients big out-of-network ED bills.

Envision and KKR have a history. The staffing firm last year sold its ambulance business to a subsidiary of KKR for $2.4 billion focus on its physician-staffing and its other major business line, ambulatory surgery centers.