Palm Medical Centers

Palm Medical Centers operates almost entirely on capitated contracts with Medicare Advantage plans. The company receives a fixed per-member per-month payment from insurers, typically Humana and Florida Blue, and assumes full medical risk for those patients. This means its revenue is not driven by the volume of visits or procedures but by its ability to manage chronic conditions, reduce hospital admissions, and hit quality metrics that trigger shared-savings bonuses.

In August 2022, Palm Medical Centers sold a controlling interest to MBF Healthcare Partners, a private equity firm based in Coral Gables and led by Miguel Fernandez. Founder Fowad Choudhary retained a significant minority stake and remains CEO of the company, while MBF brought capital and healthcare-operations expertise to accelerate clinic acquisitions across Florida. The transaction valued the group north of $300 million, according to PE Hub reporting at the time.

At the time of the MBF Healthcare Partners acquisition in mid-2022, Palm Medical Centers was responsible for approximately 50,000 managed lives under capitated Medicare Advantage contracts. The patient base is heavily concentrated among Medicare-eligible seniors in South and Central Florida. The company has since targeted expanding that number through both organic patient attribution and acquiring additional primary care practices.

The group's clinic footprint spans the Florida counties with the highest concentrations of Medicare-eligible seniors: Miami-Dade, Broward, Palm Beach, and Hillsborough. All clinics are located in Florida, reflecting a deliberate strategy to dominate the nation's most mature and competitive Medicare Advantage market before expanding elsewhere. The company has not disclosed plans for out-of-state expansion.

MBF Healthcare Partners became the majority owner of Palm Medical Centers in a 2022 recapitalization. MBF managing partner Miguel Fernandez, a veteran healthcare investor who previously founded and sold Navarro Discount Pharmacy, joined Palm Medical's board. The partnership pairs Palm Medical's clinical operating capability with MBF's capital and experience in scaling Florida healthcare roll-ups, with a shared thesis that independent, capitated primary care groups will attract premium valuations as Medicare Advantage enrollment continues rising.

Palm Medical targets small, independently owned primary care practices, typically with a high concentration of Medicare Advantage patients, and acquires the practice outright. The acquired physicians become employed by Palm Medical and transition from fee-for-service billing to the company's capitated contracts. The group then layers on care coordinators, population health software, and on-site ancillary services to manage patient risk more aggressively and improve per-member margins.

The company's model is purpose-built for Medicare Advantage and it focuses almost exclusively on managed Medicare patients. While some acquired practices may retain a residual base of traditional fee-for-service Medicare or limited commercial contracts, the strategic — and economic — center of gravity has always been capitated Medicare Advantage reimbursement. Standard Medicare patients do not generate the same per-member economics under the company's risk-bearing structure.