Federal Judge Dismisses WCAS from FTC Antitrust Lawsuit Against USAP

May 14, 2024, 06:00 PM

A federal judge in Texas, Judge Hoyt, has dismissed private equity firm Welsh Carson Anderson & Stowe (WCAS) from a major antitrust lawsuit brought by the Federal Trade Commission (FTC). The lawsuit accused WCAS and its portfolio company, U.S. Anesthesia Partners (USAP), of suppressing competition and driving up prices for anesthesiology services in Texas through serial acquisitions of practices. While the judge allowed the case to proceed against USAP, WCAS was dismissed as a defendant. This ruling represents a significant setback for the Biden administration's efforts to regulate private equity firms more strictly.