Canyon Gate Medical Group sold to HealthCare Partners Medical Group

After losing a major insurance contract, Canyon Gate Medical Group was sold to the much larger HealthCare Partners Medical Group for undisclosed terms.

Many of the patients who went to Canyon Gate, which listed 15 physicians in seven Las Vegas Valley locations, were covered by insurance giant Humana. At midyear, Humana notified Canyon Gate that it would not renew the pact that included Canyon Gate in its network.

HealthCare Partners of Nevada, the local unit of the Torrance, Calif.-based parent company, had 240 physicians in more than 40 offices before buying Canyon Gate. It has grown rapidly in recent years partly through several acquisitions and now operates one of the valley's largest practices, mostly of primary care doctors.

The deal also represents part of a continuing trend of small groups and solo practitioners casting their lots with corporate clinics under the weight of financial pressure.