POTTSTOWN PA – Having filed for bankruptcy protection after losses totaling $6.1 million during the past three years, Pottstown Medical Specialists Inc. (PMSI) may be sold Friday (Oct. 30) to Thomas Jefferson University as part of a court hearing, the Philadelphia Business Journal reported.
The Journal article, written by Senior Reporter John George and published Wednesday (Oct. 28), says PMSI employs about 145 people. The company estimates it serves about 180,000 patients in Montgomery and Berks counties.
The proposed sale would occur in Philadelphia, at the U.S. Bankruptcy Court for the Eastern District of Pennsylvania. PMSI filed for bankruptcy on Aug. 30, the Journal noted.
PMSI operating losses amounted to “$1.7 million in 2023, $972,000 in 2024 and $3.4 million in 2025,” according to court records the Journal cited.
As part of the bankruptcy proceedings, Jefferson submitted a bid package to the court during September. It included a $6.4 million loan, the assumption of the more than $2.2 million owed to Fulton Bank and Meridian Bank and up to $1.9 million for bankruptcy estate wind-down costs.
The presiding judge “set $9.65 million as a minimum cash requirement for competing bids,” the Journal adds. None were submitted before a deadline last week.
Rumblings Months Ago
The event comes as no surprise to Pottstown Medical Specialists Inc. employees. They learned months ago about the potential for abrupt change, in messages sent by management.
Several employees already have accepted jobs elsewhere. Those who remain to occupy the company’s offices say they have been told to expect operations will continue under Jefferson. They also claim to have received few specifics.
Eleven patient-facing offices currently are located across Lower Pottsgrove, Stowe, Boyertown, Collegeville, Royersford. Its corporate headquarters is in North Coventry. The firm was founded in August 1978.
PMSI explored survival options before the August bankruptcy filing. In a July 14 letter to employees, the company announced it had “officially signed a letter of intent to merge with the Lehigh Valley Health Network,” which also is owned by Jefferson.
At the time, PMSI called the move a “strategic decision.” It represented “a proactive step toward ensuring the long-term stability of our company while significantly enhancing the care we provide to our patients,” the company said.
It is unknown if the Jefferson offer evolved from those discussions.
- Added Reading: “Philadelphia health system to acquire 48-year-old physician-owned practice,” published Oct. 28 (2026) in Becker’s ASC Review.
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