A radiology company with substantial operations in Minnesota is opening two new imaging centers in the Twin Cities.
Rayus Radiology, which previously operated as the Center for Diagnostic Imaging (CDI), announced Monday its plans for outpatient imaging centers in Otsego and Shakopee, as well as well as a new location in Maine.
Financial terms were not disclosed.
"We are thrilled to continue our growth in Minnesota and further increase access to diagnostics and imaging to physicians and their patients in the Otsego and Shakopee areas," Dr. James Sullivan, medical director in the Twin Cities for Rayus Radiology, said in a statement.
In response to questions from the Star Tribune, Rayus Radiology's chief executive Kim Tzoumakas said via e-mail: "With the new additions, we now have 28 centers in Minnesota and are looking to open additional locations in [Minnesota] in 2022 as well."
In 2019, the New York-based private equity firm Wellspring Capital Management acquired Minneapolis-based CDI, which at the time had operations in 22 states. Wellspring rebranded the business as Rayus Radiology during summer 2021, at which point the company started announcing a series of acquisitions in Florida, Pennsylvania and Washington.
With the three new locations announced Monday, Rayus "has added 21 centers in 2021 to increase its nationwide network to 150 locations," the company said in a statement. Operations continue to be spread across 22 states.
In November 2020, CDI acquired the assets of Smart Choice MRI, a Wisconsin-based company that tried to shake up the Twin Cities imaging market with new MRI centers beginning in 2016. The acquisition brought four new locations for CDI in Wisconsin, while Smart Choice MRI closed its remaining locations in Minnesota, Wisconsin and Illinois.
Also in 2020, CDI acquired two imaging groups in Utah, including one that was the official medical provider for U.S. Ski and Snowboard, U.S. Speedskating, and the U.S. Bobsled and Skeleton Foundation. Rayus Radiology now has those distinctions.
When Wellspring acquired CDI in 2019, the radiology company employed about 2,000 people,including about 685 in Minnesota. A company spokeswoman said Monday that Rayus Radiology now has more than 3,000 employees nationwide.
Since its founding in 1995, Wellspring has raised more than $4.5 billion of initial capital commitments through six private equity funds, the company said.
