Surgery Partners and Baylor Scott & White Health Form Joint Venture to Expand Access to Quality Care
Rhea-AI Summary
Surgery Partners (NASDAQ:SGRY) and Baylor Scott & White Health formed a joint venture announced Dec 08, 2025 to jointly own the 16-bed Physicians Centre Hospital in Bryan, Texas.
The hospital will operate under the Baylor Scott & White name while Surgery Partners will continue day-to-day management. Patients can keep current providers. Services include bariatric, ophthalmologic, oral/maxillofacial, orthopedic, GI, podiatric, spinal, urologic, general, plastic/reconstructive surgery, sports medicine, pain management and radiology.
Positive
- Joint ownership of a 16-bed hospital in Bryan, Texas
- Hospital to operate under Baylor Scott & White brand
- Surgery Partners to continue managing daily operations
- Patients can retain current providers at the location
- Integration expands Baylor College Station region surgical continuum
Negative
- None.
Key Figures
Market Reality Check
Peers on Argus 1 Down
Peers showed mixed moves: ACHC appeared in momentum scanners with a -9.18% move, while AMED, CON, LFST, and ADUS had relatively modest single-day changes. With SGRY down 0.98% pre-news and only one peer in momentum, trading looked company-specific rather than a broad sector rotation.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Nov 10 | Q3 2025 earnings | Negative | -25.4% | Revenue grew but outlook was cautious and net loss remained elevated. |
| Oct 24 | Earnings call notice | Neutral | +0.4% | Announcement of Q3 2025 release date and conference call logistics. |
| Aug 05 | Q2 2025 earnings | Positive | -0.3% | Strong revenue and EBITDA growth with reaffirmed full-year 2025 guidance. |
| Jul 18 | Q2 call scheduling | Neutral | -1.3% | Notice of Q2 2025 earnings release timing and access details. |
| Jun 17 | Bain talks end | Negative | -12.3% | Termination of Bain Capital acquisition talks while guidance was reaffirmed. |
Recent history shows sharp downside reactions to major strategic or earnings updates, while neutral scheduling releases have seen mild to negative drift, suggesting a tendency for the stock to trade cautiously around news.
Over the last six months, Surgery Partners reported multiple earnings updates and strategic milestones. Q2 and Q3 2025 results showed revenue growth (Q3 at $821.5M, up 6.6% YoY), but shares fell sharply 25.42% after the latest Q3 release, reflecting concern over softer volumes and outlook. The June decision to remain public after ending talks with Bain Capital also coincided with a 12.26% decline. Against this backdrop, today’s Baylor Scott & White joint venture adds a new growth-focused partnership to a story previously dominated by financial guidance and capital structure updates.
Market Pulse Summary
This announcement expands Surgery Partners’ collaborative footprint via a joint venture that brings Baylor Scott & White branding and physician ownership to a 16-bed hospital recognized for surgical excellence. It complements recent quarters marked by revenue growth but persistent net losses and notable volatility around earnings updates. Investors may watch how volumes, case mix, and physician recruiting at this facility contribute to same-facility growth and overall portfolio performance.
Key Terms
joint venture financial
AI-generated analysis. Not financial advice.
The Physicians Centre Hospital in Bryan to become a Baylor Scott & White facility, as health system grows to keep up with population increase in the Brazos Valley
BRENTWOOD, Tenn., and BRYAN/COLLEGE STATION, Texas, Dec. 08, 2025 (GLOBE NEWSWIRE) -- Surgery Partners, Inc. (NASDAQ:SGRY) announces a new partnership with Baylor Scott & White Health, the largest not-for-profit health system in Texas, to jointly own with physicians the 16-bed hospital in Bryan known as The Physicians Centre Hospital*. Patients will be able to continue care with their current provider at the location. The hospital will operate under the Baylor Scott & White name in the future, with Surgery Partners continuing to manage daily operations.
The hospital has been recognized for surgical excellence and patient satisfaction. It offers a broad range of surgical options for bariatric, ophthalmologic, oral/maxillofacial, orthopedic, gastroenterological, podiatric, spinal and urologic conditions. The team also provides general, plastic, and reconstructive surgery, as well as sports medicine, pain management and radiology services.
“This marks a significant step forward in expanding access to quality patient care in the Bryan College Station community,” said Mike Sanborn, chief growth officer, Baylor Scott & White. “This joint venture partnership reflects our ongoing dedication to customer-centered care and strategic growth in the communities we serve.”
This facility will complement the surgical care services offered throughout the Baylor Scott & White – College Station Region, for a full continuum of surgical care close to home.
"We are committed to offering our patients access to exceptional care close to where they live and work," said Jason Jennings, president, Baylor Scott & White – College Station Region. "This partnership allows us to further enhance our services and deliver a seamless experience for our community as it continues to grow."
“We are excited to add Baylor Scott & White to our partnership at The Physicians Centre Hospital,” said Jennifer Baldock, Executive Vice President, Chief Administrative & Development Officer. “The new joint venture integrates our patient-centric hospital with one of the nation’s most respected health systems and provides the opportunity to serve additional patients, attract new physician partners, and broaden our breadth and depth of services.”
About Surgery Partners
Headquartered in Brentwood, Tennessee, Surgery Partners is a leading healthcare services company with a differentiated outpatient delivery model focused on providing high quality, cost effective solutions for surgical and related ancillary care in support of both patients and physicians. Founded in 2004, Surgery Partners is one of the largest and fastest growing surgical services businesses in the country, with more than 200 locations in 30 states, including ambulatory surgery centers, surgical hospitals, multi-specialty physician practices and urgent care facilities. For additional information, visit www.surgerypartners.com.
About Baylor Scott & White Health
As the largest not-for-profit health system in the state of Texas, Baylor Scott & White is empowering customers to live well by reimagining traditional healthcare — creating more convenient, personalized and informed experiences. It serves more than three million customers through 53 hospitals, including flagship academic medical centers in Dallas, Fort Worth and Temple; the Baylor Scott & White Research Institute; 1,300+ access points; 59,000+ team members; and its leading digital platform — MyBSWHealth. The system's award-winning employer solutions include Baylor Scott & White Health Plan, Baylor Scott & White Quality Alliance and Levanto — a company offering digitally enabled health products. Founded as a Christian ministry of healing more than a century ago, Baylor Scott & White's mission is to promote the health and well-being of all individuals, families and communities.
For more information, visit: BSWHealth.com
*Joint Ownership with Physicians / Notice Regarding Physician Ownership: These are hospitals in which physicians have an ownership or investment interest. The list of physician owners or investors is available to you upon request. Physicians provide clinical services as members of the medical staff at one of Baylor Scott & White Health's subsidiary, community or affiliated medical centers and are neither employees nor agents of those medical centers nor Baylor Scott & White Health.
Contacts:
Surgery Partners Investor Relations
(615) 234-8940
IR@surgerypartners.com
Baylor Scott & White Media Contact: Christy Millweard
(512) 366-7877
Christina.Millweard@BSWHealth.org
FAQ
What did Surgery Partners (SGRY) announce on Dec 08, 2025 about the Bryan hospital?
Will the Physicians Centre Hospital (SGRY) change its name after the joint venture?
Can patients keep their current doctors at the former Physicians Centre Hospital (SGRY)?
Which surgical specialties will be available at the Baylor Scott & White facility formerly known as Physicians Centre Hospital (SGRY)?
How does the joint venture affect surgical care in the College Station region related to SGRY?
