Deal Volume Rose in July
July’s combined transaction total hit 127 deals, up 2% compared with the bang-up month of July 2014, which had 124 transactions. The Services sector had a strong performance, accounting for 60% of deal volume. Long-Term Care made up 27% of the volume overall with 34 announced transactions. That equalled the record set last July for the sector, and will probably break it as more deals come to light. The Managed Care sector posted some extra activity, although seven deals versus two deals the month prior and a year ago isn’t moving the needle very high. July 2015 DealsShare of Total Services Behavioral Health Care32% Home Health & Hospice23% Hospitals76% Labs, MRI & Dialysis43%... Read More »New PE Players in the Behavioral Health Market
The behavioral health care market just a little more competitive, as Odyssey Behavioral Healthcare and Community Intervention Services each announced acquisitions last week. Odyssey Behavioral was formed in May as a partnership between Nautic Partners LLC and Odyssey’s now-CEO, Scott Kardenetz, a 25-year veteran of the BHC industry. Their first acquisitions are Pasadena Villa Psychiatric Residential Treatment Centers in Sevierville, Tennessee and Orlando, Florida, and Lifeskills South Florida, in Deerfield Beach. Community Intervention Services, a portfolio company of H.I.G. Growth Partners, acquired Futures Behavior Therapy Center, LLC in Beverly, Massachusetts, adding to its own... Read More »Acadia Healthcare Is Still on the Acquisition Trail
Acadia Healthcare (NASDAQ: ACHC) made its second acquisition of 2015 last week, adding three more facilities to its growing list of inpatient behavioral health care assets. Two of its targets are in the United Kingdom, where last year it picked up Partnerships in Care, the second-largest independent behavioral health care provider, for $662 million. This year Acadia acquired Care UK, which operates 15 inpatient facilities with approximately 300 beds, and Choice Lifestyles, a single facility with 42 beds. The third property is Belmont Behavioral Health, a 147-bed inpatient facility that was part of the not-for-profit Einstein Healthcare Network outside Philadelphia, Pennsylvania. The... Read More »Behavioral Health Deals in 2015
The behavioral health sector got a slight bump in April, when the CMS proposed that inpatient psychiatric facilities receive a 1.6% rate increase from Medicare in fiscal 2016. Quality metrics are also part of the proposal, and will affect psychiatric facility payments beginning in fiscal 2018. M&A activity in this sector is always very light, but the 11 transactions we’ve recorded in 2015 are slightly ahead of the same period in 2014. And the totals for the 2015 deals, at nearly $129 million, is strong for this sector. Read More »Another Record Falls in Q1:15
Now that the month is officially over, we can report our preliminary Q1:15 results—and it was another record breaker, at least for transactions. The 346 deals logged so far are 109% higher than the first quarter of 2014. You would think that the $104.7 billion in combined spending would set another record, but no. In Q1:09, we tracked $127.2 billion spent on 202 deals. That’s when Pfizer (NYSE: PFE) bought Wyeth for $68 billion. Here’s the preliminary breakdown of Q1:15 — and remember, the spending is only for deals that disclosed prices. Read More »Schedule a demo
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