The sale of some Tristar medical clinics should offer some reassurance to its patients in regional Victoria, after the company entered voluntary administration in May.
Twelve of the 29 practices are being sold to Family Doctor, one of Australia's largest medical operators that runs about 60 clinics nationwide.
These clinics being sold are in Ballarat, Coff's Habour, Deer Park, Eaglehawk, Epping, Epsom, Horsham, Kangaroo Flat, Mildura, Sebastopol, Sunbury and Wodonga.
Tristar Medical Group offered bulk-billing at its clinics which attracted a rebate of $39.10 for consultations less than 20 minutes.
Managing director of Family Doctor and principal GP Rodney Aziz said many bulk-billing clinics across Australia were experiencing severe financial strain.
Billing models under review
"As the collapse of the Tristar group clearly shows, universal bulk-billing is not financially sustainable," he said.
Dr Aziz said Family Doctor clinics operated on a range of billing models and will review how patients at each of their newly acquired clinics are billed.
"As part of that review, we are keen to ensure that vulnerable population still have access to affordable, if not bulk-billed, healthcare."
Dr Aziz said the majority of Tristar doctors worked across the clinics they were acquiring, which meant the sale resulted in in 80 per cent of doctors and 60 per cent of employees being able to maintain their positions and employment.
He also ensured that doctors in these clinics will be repaid what they were owed under Tristar and that all staff will retain their full benefits.
"We look forward to providing certainty and continuity to patients, doctors, and staff."
Dr Aziz said he understood the value of primary care to local communities and will work hard to recruit additional doctors and expand clinic services.
Tristar Medical Group owed creditors more than $9.3 million, including more than $8.7 million to Westpac.
The sale of the clinics will be completed on August 19.
Tristar's administrators McGrath Nichol have been contacted for comment.
