DOGE Finds $2.7 Trillion in Improper Payments: Healthcare’s Wake-Up Call
The Department of Government Efficiency (DOGE) revealed during a DOGE subcommittee hearing on February 12 that since 2003, the U.S. government has issued $2.7 trillion in improper payments across various federal agencies, including Medicare and Medicaid. While a precise breakdown for these programs was not provided, Medicare and Medicaid have consistently been a source of improper payments among federal programs, raising concerns about the long-term security of federal healthcare spending. In 2023 alone, the Department of Health and Human Services (HHS) reported approximately $100 billion in improper payments tied to Medicare and Medicaid. A critical area of concern lies within the durable... Read More »
Exploring the MedSpa M&A Market: Trends, Drivers and 2025 Outlook
Medical spas, or MedSpas, are hybrid establishments combining the luxury of a traditional spa with medical-grade aesthetic procedures. As an intersection of health, beauty and medicine, MedSpas have seen a surge in popularity in recent years. As wellness and aesthetic care continue to gain prominence in the daily lives of millions, the medical spa sector has become a focal point for M&A, reflecting a robust market landscape poised for further growth. The MedSpa sector’s prominence was evident at various healthcare conferences attended by the LevinPro HC team in 2024. During McGuireWoods’ 17th Annual Healthcare Finance and Growth Conference in September 2024, Eugene Goldenberg of... Read More »
PwC’s Behind the Numbers of Medical Costs
PwC’s Health Research Institute published an article in early January 2025 that projects commercial healthcare spending growth will hit a 13-year high in 2025, with an 8% increase in the Group market and 7.5% in the Individual market. This is driven by inflation, the rising cost of prescription drugs and increased behavioral health utilization. Updated 2023 and 2024 trends reveal higher-than-expected costs due to increased use of GLP-1 drugs and deferred pandemic care. While cost-saving measures like biosimilars offer some relief, they do not counter the increasing expenses. The report highlights the need for healthcare organizations to develop strategies that balance cost... Read More »
Fourth Quarter 2024 Healthcare M&A Volume Slides
In the fourth quarter of 2024, healthcare M&A volume took a plunge, according to data captured in the LevinPro HC platform. Activity declined by 10% compared with volume in Q3:24, falling from 504 announced transactions to just 452. Compared with the fourth quarter of 2023, results looked even worse, falling 13% from 521 deals. It’s worth noting these are preliminary results, as more deals and transactions could surface in the upcoming quarterly and annual reports. Total spending also fell in the fourth quarter, sinking to $31.4 billion compared with $44.8 billion in the third quarter. Q4 was not without some significant transactions price-wise, but nothing hit more than $5 billion in... Read More »
Healthcare M&A Volume Drops by More Than 30% in November
The healthcare M&A market slowed significantly in November, according to preliminary data in our LevinPro HC database. You could blame the holiday season or a few other extraneous events, but volume plunged by 31% compared with activity in October, dropping from 175 deals to just 120. Change in year-over-year volume was even more pronounced, falling by 34% compared with activity in November 2023. Although we expect to find more deals in the coming weeks (and from future SEC filings), November has been the slowest month of the year, with healthcare M&A numbers averaging 160 deals per month. On the other hand, spending soared during the month. In November, announced spending hit... Read More »Schedule a demo
Gain access to the best healthcare and long-term care investment intelligence, data, and analysis.
