PRIVATE EQUITY IN DURABLE MEDICAL EQUIPMENT

The report argues that private equity firms have consolidated the US Durable Medical Equipment (DME) industry, using high-debt strategies that lead to severe cost-cutting. This has resulted in delayed critical repairs for wheelchair users, fraudulent billing practices in respiratory care, and active lobbying against 'right to repair' legislation. The authors recommend state and federal interventions to ensure timely repairs, combat fraud, and limit industry consolidation.

• Private equity firms have consolidated the DME industry through 'roll-ups' and debt-funded growth, creating highly indebted companies that prioritize outsized returns over service quality.
• The customized wheelchair industry (Complex Rehabilitative Technology) is dominated by two PE-owned suppliers, Numotion and National Seating & Mobility, where cost-cutting has led to critical repair delays for users.
• PE-owned DME companies have paid millions to settle federal fraud allegations, including overbilling for non-invasive ventilators and Medicaid fraud.
• Private equity-owned companies and their associated industry trade groups (NCART, AAHomecare, and HOMES) have lobbied against 'right to repair' and timely repair legislation in states like Colorado and Massachusetts.
• Blackstone Group extracted significant wealth from Apria Healthcare through dividends and fees even while the company faced fraud investigations.

APA

Private Equity Stakeholder Project (2023). PRIVATE EQUITY IN DURABLE MEDICAL EQUIPMENT. https://pestakeholder.org/wp-content/uploads/2023/11/PESP_Report_DME_2023.pdf

Chicago

Private Equity Stakeholder Project. PRIVATE EQUITY IN DURABLE MEDICAL EQUIPMENT. 2023. https://pestakeholder.org/wp-content/uploads/2023/11/PESP_Report_DME_2023.pdf.

Wikipedia

{{cite report |author=Private Equity Stakeholder Project |title=PRIVATE EQUITY IN DURABLE MEDICAL EQUIPMENT |date=November 2023 |url=https://pestakeholder.org/wp-content/uploads/2023/11/PESP_Report_DME_2023.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{privateequitystakeholderproject2023private, author = {{Private Equity Stakeholder Project}}, title = {{PRIVATE EQUITY IN DURABLE MEDICAL EQUIPMENT}}, institution = {Private Equity Stakeholder Project}, year = {2023}, month = nov, url = {https://pestakeholder.org/wp-content/uploads/2023/11/PESP_Report_DME_2023.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }