As interest in ASCs grows among physicians, administrators and patients, health systems, corporate entities and private equity groups are venturing into the outpatient surgery sector.
In May, medtech company Zimmer Biomet announced a partnership with commercial real estate services and investment firm CBRE Group to create and outfit ASCs.
Zimmer Biomet CEO Ivan Tornos shared the company's plan to double down on ASC ventures in 2024 in its third quarter earnings call in 2023.
"The ASC is one attractive area. It's one area where we have dedicated resources," Mr. Tornos said. "We're growing in our teens. We currently have 10% to 15% of our sales in that space and there are opportunities there to acquire things."
Becker's spoke with Nnamdi Njoku, president of sports medicine, surgery, upper extremities and restorative therapies at Zimmer Biomet, to see what else the company intends to accomplish through its latest partnership.
"We are seeing an acceleration into the ASC space across many of the categories we participate in. So that shift is continuing to accelerate," Mr. Njoku told Becker's. "[W]e're doubling down on our efforts to really make sure that we're being the trusted partner as we as we engage ASC stakeholders, because that's where we see most of our business going, not only now, but as we look toward the future."
Mr. Njoku also expects the acceleration of ASC builds driven by the repeal of certificates of need across the country to lead to ASCs being built more rapidly than years prior.
"That's where the CBRE partnership comes into play," Mr. Njoku continued.
Beyond investing, Zimmer Biomet is shifting its ASC strategy in other ways.
"For the most part, the implants that we provide today are still the same type of implants that are going into the ASC. However, there are parts of our portfolio that we have to rethink to both simplify and optimize efficiency — specifically for ASCs," Mr. Njoku said.
ASCs are typically smaller than hospitals, and the company is adapting its devices to better suit locations with less storage space.
"The ASC shift is real," Mr. Njoku said. "As a company, we know that this is going to be a big part of our future. We are embedding that understanding and that desire to win in the ASC space into all aspects of our business — not only how we think about the products we design, but also how we go to market, as well as how we become a better partner for surgeons and other providers we work with. We're thinking very creatively about how to be part of the solution to meet the needs of ASC stakeholders in the healthcare marketplace."
Mr. Njoku and Zimmer Biomet intend to harness the full potential of ASCs.
"We're very excited about the future, and we're really bullish in terms of what's happening in space and our ability to not only meet the needs but win, ultimately, long term."