Investments in Other Entities

9 Months Ended

Sep. 30, 2024

Equity Method Investments and Joint Ventures [Abstract]

Investments in Other Entities

5.Investments in Other Entities

Equity Method

For the nine months ended September 30, 2024 and 2023, the Company’s equity method investment balance consisted of the following (in thousands):

	% of Ownership	December 31, 2023		Initial Investment		Allocation of Net Income (Loss)			September 30, 2024
LaSalle Medical Associates – IPA line of business	25%	$	9,866	$	—	$	2,225		$	12,091
Pacific Medical Imaging & Oncology Center, Inc.	40%		1,691		—		(72	)		1,619
CAIPA MSO, LLC	30%		13,660		—		643			14,303
I Health, Inc.	25%		—		5,968		20			5,988
Other*	25%		557		—		71			628
		$	25,774	$	5,968	$	2,887		$	34,629

	% of Ownership	December 31, 2022		Initial Investment		Allocation of Net Income (Loss)			Funding		September 30, 2023
LaSalle Medical Associates – IPA line of business	25%	$	5,684	$	—	$	2,642		$	—	$	8,326
Pacific Medical Imaging & Oncology Center, Inc.	40%		1,878		—		(219	)		—		1,659
531 W. College, LLC **	50%		17,281		—		(387	)		700		17,594
One MSO, LLC **	50%		2,718		—		330			—		3,048
CAIPA MSO, LLC	30%		12,738		—		575			—		13,313
Other*	25%		—		325		163			—		488
		$	40,299	$	325	$	3,104		$	700	$	44,428

*Other consists of smaller equity method investments.

** Investments were solely for the benefit of APC and its shareholders.

For three months ended September 30, 2024 and 2023, the Company’s equity method investment balance consisted of the following (in thousands):

	% of Ownership	June 30, 2024		Initial Investment		Allocation of Net Income (Loss)			September 30, 2024
LaSalle Medical Associates – IPA line of business	25%	$	11,027	$	—	$	1,064		$	12,091
Pacific Medical Imaging & Oncology Center, Inc.	40%		1,648		—		(29	)		1,619
CAIPA MSO, LLC	30%		14,100		—		203			14,303
I Health, Inc.	25%		5,923		—		65			5,988
Other*	25%		578		—		50			628
		$	33,276	$	—	$	1,353		$	34,629

	% of Ownership	June 30, 2023		Initial Investment		Allocation of Net Income (Loss)			Funding		September 30, 2023
LaSalle Medical Associates – IPA line of business	25%	$	10,537	$	—	$	(2,211	)	$	—	$	8,326
Pacific Medical Imaging & Oncology Center, Inc.	40%		1,655		—		4			—		1,659
531 W. College, LLC **	50%		17,070		—		(176	)		700		17,594
One MSO, LLC **	50%		2,960		—		88			—		3,048
CAIPA MSO, LLC	30%		13,190		—		123			—		13,313
Other*	25%		420		—		68			—		488
		$	45,832	$	—	$	(2,104	)	$	700	$	44,428

* Other consists of smaller equity method investments.

** Investments were solely for the benefit of APC and its shareholders.

I Health, Inc.

On March 31, 2024, a wholly owned subsidiary of the Company acquired a 25% equity interest in I Health, Inc. (“I Health”), a management service organization. The Company accounts for its investment in I Health under the equity method of accounting as the Company has the ability to exercise significant influence, but not control over, I Health’s operations. The purchase agreement includes a call option that allows the Company to purchase an additional 25% equity interest on each of the first, second, and third anniversary of the purchase (“I Health Call Option”). The total purchase price for this arrangement was $9.9 million, consisting of $3.9 million in the form of a call option, and $6.0 million as the initial investment of the 25% equity interest. Refer to Note 19 - “Fair Value Measurements of Financial Instruments” for additional information about the I Health Call Option.

There was no impairment loss recorded related to equity method investments for the three and nine months ended September 30, 2024 and 2023.