After three years of declines, mergers and acquisitions picked up in 2015, reaching 88 deals. Just as hospitals, health insurers and others are seeking greater scale to boost efficiency and outcomes, physicians are joining larger management groups or health systems for the same reasons. In 2015, consolidation began among the biggest players—Team Health (NYSE: TMH) and IPC Healthcare—and more could be on the way. AmSurg Corporation (NASDAQ: AMSG), parent company to Sheridan, made a surprise bid for Team Health in August. That offer was rebuffed, to the chagrin of many Team Health shareholders. With the continuing shift to value-based health care and bundled payments, expect a few more big plays in this space.
