This week we chat with Peter Magas, managing director at Beecken Petty O’Keefe and Co. Peter joined BPOC in 2008. He serves or has served on the board of Absolute Dental, Hospital Physician Partners, ISG Holdings, Medical Solutions and Paragon Medical. Founded in 1996, BPOC ranks among the country’s oldest private equity management firms that specialize exclusively in healthcare.

The Lead Left: Pete, appreciate you taking some time to chat with us. Given our recent series on healthcare, we thought our readers might appreciate hearing your thoughts on the state of the sector.

Peter Magas: Thanks, Randy. Great to be with you. There’s certainly been a lot of talk about value-based healthcare and cost sharing. However, we’re in the early innings – we spend a lot of time focused on provider-based businesses and as we speak with payors about how the model may change, it is surprising to us how few are able to leverage their own data to evaluate providers, develop care plans based on historical outcomes and negotiate bundled rates. Today, it’s incumbent upon the providers to demonstrate they are delivering quality care, efficiently.

TLL: What sub-sectors of healthcare are you focused on?

PM: We have a deep, experienced team who has invested in different cycles and our mandate within healthcare is very broad. Personally, I spend a majority of my time in three areas: multi-site provider businesses, behavioral health and staffing. In addition, BPOC invests in payor services, medical products and contract manufacturing, pharma services, post-acute care and HCIT – pretty much everything except biotech and life sciences.