Two Province vets launch hospital venture

Serial entrepreneur is back with up to $300 million in private equity backing to acquire non-urban hospitals

Email | Print By Walker Duncan

07-15-2009 2:10 PM — Two Province veterans are back with a new hospital venture.

Serial entrepreneur Marty Rash along with former Province COO John Rutledge has launched RegionalCare Hospital Partners with backing from private equity heavyweight Warburg Pincus.

The new venture treads on familiar territory for Rash and Rutledge and will focus on buying and managing hospitals in non-urban markets. Much like the leadership set up at Province, Rash will serve as chairman and CEO while Rutledge will occupy the role of president and COO. Other senior executives with the company will include Sam H. Moody who will be the senior vice president of operations.

Warburg has said that it will invest up to $300 million to support the new venture.

Since Province sold to LifePoint back in 2004 for just over $1 billion, Rash has been involved with a number of health care start ups including revenue cycle management firm nTelagent, and American Pathology Partners.

Warburg Pincus’ other local investments include medical transcription outfit Spheris.

Advising the company in securing the funding was RBC Capital Markets.