HealthSpan to Take Surgery Partners Private in $5.7 Billion Deal

HealthSpan Partners will take Surgery Partners private for about $5.7 billion, the surgical facility operator said on Monday. The deal values Surgery Partners at $23.50 per share, a premium of 49 percent to the stock's last close.

HealthSpan Partners is a supporting organization of Bon Secours Mercy Health, a not-for-profit healthcare system. Surgery Partners agreed on October 23, 2026 to be acquired by HealthSpan Partners, an affiliate of Bon Secours Mercy Health, through a merger that will take the company private.

The terms of the deal

The transaction is all cash and values Surgery Partners at approximately $5.7 billion. Shareholders other than affiliates of Bain Capital will receive $23.50 in cash for each share they hold. Bain Capital affiliates will roll over their equity and remain significant partners in the company after the deal closes.

The deal was negotiated and unanimously endorsed by a special committee of independent directors. It is expected to close in the first quarter of 2027, subject to shareholder and regulatory approvals. When it closes, Surgery Partners shares will be removed from Nasdaq, and the company will no longer trade as a public company.

The companies said Surgery Partners will keep its brand, its headquarters and its secular status after the takeover. The headquarters is in Brentwood, Tennessee.

The role of Bain Capital

Private equity group Bain Capital has been a minority shareholder in Surgery Partners since 2017 and owns 39 percent of the company. Bain has agreed to vote all of its shares in favour of the transaction.

That support matters because Bain is the largest shareholder named in the announcement. Under the terms reported by the companies, Bain will exchange its shares for equity in the acquiring entity and remain invested alongside HealthSpan, rather than taking the $23.50 cash price offered to other shareholders.

The end of a two year review

The deal ends a two year strategic review at Surgery Partners. During that review the company drew interest from potential buyers including Bain Capital. A bid by Bain to take the company private last year was rebuffed.

The review therefore ends not with a private equity buyout, but with a sale to a buyer linked to a not-for-profit health system, with Bain staying in as a partner.

What Surgery Partners runs

Surgery Partners operates more than 200 locations across 30 states. The network includes ambulatory surgery centers, surgical hospitals, multi-specialty physician practices and urgent care facilities, with about 5,000 affiliated physicians.

Its specializations include orthopedics, spine, cardiology, gastroenterology and ophthalmology. Short-stay surgical facilities of this kind handle procedures that do not require a long hospital stay, a part of United States healthcare that has grown as more operations move out of large hospitals.

Shares jump on the news

Surgery Partners shares were halted in premarket trading after the announcement. When trading resumed, the shares moved sharply toward the offer price. The Motley Fool reported the shares soaring 46 percent in midday trading on October 26, as of 11:31 a.m. ET, after the company confirmed it will be acquired for approximately $5.7 billion.

That move left the stock close to the $23.50 offer price, a sign that investors expected the deal to go ahead at the stated terms, subject to the approvals still required before the first quarter of 2027.