In answer to parliamentary questions, outgoing Dutch healthcare Minister Kuipers has reiterated his intention to do conduct further research into the role of private equity in Dutch healthcare. Although the parliamentary questions solely focus on the suggested locust role of private equity investors – which is suggested to inherently result in a decrease of the quality of care once a financial sponsor has invested in the healthcare provider – Minister Kuipers emphasis that private equity investors can play an important and positive role in amongst others increasing innovation in the Dutch healthcare sector. Also Minister Kuipers refers to his earlier comments that existing regulations in respect of the quality of care and (current and proposed) legislation in respect of the (im)possibilities for healthcare providers to pay out dividends will of course also fully apply to healthcare providers with a private equity owner and there is no need for specific other regulations.

Currently, the Dutch Healthcare Inspectorate (IGJ) and the Dutch Healthcare Authority (NZa) are conducting an investigation into a general practitioners platform and its buy & build strategy. In answer to further parliamentary questions in respect of this investigation, Minister Kuipers confirmed his consideration to authorize the NZa to in (temporarily) prohibit acquisitions by a healthcare provider who is subject to an IGJ and/or NZa investigation. Although instigated by said general practitioners platform, such authority would not specifically be aimed at private equity owned healthcare providers.

These parliamentary questions reflect the critical position of certain political parties in respect of private equity investors in Dutch healthcare sector and on the one hand the need by the healthcare Minister to respond to these parties but on the other hand the much more nuanced position of Cabinet itself which inherently results in increasingly growing and complicated regulations for privately held healthcare providers.

For further questions, you can contact Dimitri van Hoewijk, partner in Van Doorne Healthcare & Life Sciences / M&A team.