Conifer Health Solutions CEO Stephen Mooney is leaving his position as Tenet Healthcare plans for a tax-free spin-off of Conifer Health Solutions into its own public company. The new company is meant to maximize Conifer’s value after Tenet’s strategic review process analyzed it’s future.
Tenet has appointed Kyle Burtnett, Chief Operating Officer of Conifer, as the interim CEO while it conducts a national search for a permanent Conifer CEO. Burtnett has been Conifer COO since 2017, and was previously the President of Ambulatory Services and Chief Integration Officer for Tenet’s United Surgical Partners International subsidiary.
Tenet CEO Ronald Rittenmeyer said via release, “Kyle brings more than 15 years of healthcare experience, having served in many different leadership roles at Tenet, USPI and Conifer. As Conifer’s COO, Kyle has been a driving force behind the company’s exceptional cost management and margin improvement. His operational rigor and tenacity has helped to sharpen all corners of the organization to be more efficient and effective. I look forward to working with him to advance the many important initiatives underway at Conifer.”
Rittenmeyer continued via statement, “On behalf of all of us at Tenet, I would like to thank Steve for his significant contributions and many years of service. After helping to launch Conifer in 2008, Steve helped build it into the successful organization it is today and solidify its position as an industry leader with a compelling runway for growth. We are grateful to Steve for his dedication and lasting impact, and we wish him the best.”
Conifer, a healthcare-focused revenue cycle management service, experienced year over year growth of 26 percent in adjusted EBITDA in 2018. The separation will be tax-free for shareholders and should be complete by the second quarter of 2021. The separation process will include a review of executive leadership roles and commercial goals for Conifer to achieve in years ahead.
Conifer oversees more than 17 million unique patient interactions and earns $25 million in net patient revenue each year. For 30 years, Conifer has provided outsourced revenue cycle management and population health management services to a variety of providers.
Ronald A. Rittenmeyer, Executive Chairman and CEO, said via release, “After an extensive review of Conifer’s strategic alternatives, in which we evaluated multiple options for the business while simultaneously driving significant and sustainable improvements in performance, we are pleased to announce plans to spin off Conifer into a separate, publicly traded company. This decision supports our longstanding objectives to maximize the value of Conifer, build on its strong growth potential and deliver the best outcome for Conifer and for Tenet shareholders.”