Warwick-based Rhode Island Medical Imaging Inc., the largest private radiology practice in the Ocean State, is on track to grow even bigger as it negotiates the acquisition of a local competitor.
RIMI announced to its staff in a letter on Wednesday that it is in negotiations to acquire XRA Medical Imaging, which is based in Cranston and has been operating in Rhode Island for 52 years, with six outpatient offices across the state and three imaging operations based in local affiliate hospitals. The deal is expected to be completed by the end of the year, according to the letter from Dr. John Pezzullo, the longtime president of Rhode Island Medical Imaging’s board of directors.
“XRA has had a vibrant imaging practice in Rhode Island for many years, and continues to staff South County Hospital and Landmark Medical Center, in addition to their busy office locations in Johnston, Cranston, Warwick and Wakefield,” Pezzullo wrote. “While we are just beginning the diligence process, and have jointly signed a letter of intent, we expect to formally welcome XRA into the RIMI family at the end of the year.”
Rhode Island Medical Imaging is planning to offer continued employment to XRA staff, according to the letter, with plans by the human resources department to host meetings with the XRA team about job opportunities and benefits.
“RIMI expects to incorporate XRA’s freestanding sites and therefore will have increased staffing needs,” Pezzullo wrote in the letter. “All of the XRA team members who meet the job requirements and are interested in joining the RIMI family will be able to do so.”
Before the merger, Rhode Island Medical Imaging had about 325 employees, including more than 80 board certified radiologists, across the company’s 12 locations across the Ocean State.
XRA in March 2020 said it had 105 employees remaining following a round of layoffs announced during a financially trying pandemic. Layoffs were spread out among XRA’s locations in Smithfield, Cranston, Warwick, and Wakefield, with two offices in Johnston. It’s unclear if any of the laid-off employees were rehired.
XRA Medical Imaging reported a bleak situation for the company at that time, as it stopped recruiting new radiologist, secretaries and technicians, while laying off 15 workers. A co-owner of XRA even spoke publicly about the potential for additional layoffs or even a company closure.
“These are not happy times,” Dr. Naveh Levy, one of XRA’s owners, told Providence Business News. “I’m worried, I’m concerned. This is uncharted territory.”
Neither RIMI nor XRA immediately responded to requests for comment.
Rhode Island Medical Imaging has been operating in the Ocean State since 1943. The company is Rhode Island’s largest private radiology practice, providing diagnostic imaging services such MRI and CT scans for patients sent there by their doctors.
Two years ago, Rhode Island Medical Imaging received a Breast Imaging Center of Excellence accreditation from the American College of Radiology, which is also held by XRA Medical Imaging. In 2020, after undergoing an assessment of its lung cancer screening protocol, Rhode Island Medical Imaging became accredited as a Lung Cancer Screening Center by the American College of Radiology.
In 2020, after undergoing an assessment of its lung cancer screening protocol and earning required accreditation, Rhode Island Medical Imaging Inc. became recognized as a Lung Cancer Screening Center by the American College of Radiology.
Earlier this year, Rhode Island Medical Imaging rolled out new, cutting-edge equipment at its Warwick location, a Philips MRI Ingenia Elition 3.0 T featuring a 70-centimeter opening, as opposed to 55-60 centimeters on typical machines. The new 7.23-ton machine can perform MRIs up to 50% faster than typical machines, with images of up to 60% better resolution, and an “immersive audiovisual experience” feature mean to calm the nerves of patients while guiding them through the procedure, the company said.
In the community, Rhode Island Medical Imaging has contributed to scholarships for medical imaging students at Rhode Island College, and the company has also been a sponsor for the “Stand Up to Cancer” men’s basketball game held by the Providence College men’s basketball team.
In 2015, Rhode Island Medical Imaging acquired another smaller medical imaging company called Radiology Associates, absorbing its three offices in East Providence, Providence and Warwick.
(ADDS 10th paragraph on attempts to reach both companies.)
