Hospital M&A Activity Surges in July & August
For the past six weeks, players in the health system and hospital M&A market seem to be running a marathon, with 12 deals so far on the books. There has been a flurry of activity, ranging from divestments to larger system mergers. Many of these deals are unsurprising, often resulting from a years-long plan of a health system’s promise to balance its portfolio. Let’s look at some of the most notable hospital M&A activity of the third quarter (so far). Ascension divests in Illinois In late July, Missouri-based Ascension sold eight hospitals in Illinois and related post-acute and senior living facilities, which all comprise Ascension Illinois. Collectively, the eight hospitals... Read More »
XRL ALC Closes $9.6 Million Bridge Transaction for Blountstown, Florida Hospital
XRL ALC, LLC (XRA), an affiliate of X-Caliber Rural Capital, in collaboration with American Lending Center (ALC), has successfully closed a $9.6 million bridge loan for Calhoun-Liberty Hospital in Blountstown, Florida. The funding, part of an $82 million initiative, aims to revamp and enhance medical services for residents across Calhoun, Liberty, Jackson and Gulf County. The two-year, interest-only loan fills a crucial gap until the hospital accesses approximately $30 million in approved grants earmarked for the project. Currently offering emergency room services, in-patient care, laboratory, radiology and respiratory services, the hospital also houses a rural health clinic. “We are... Read More »
Intermountain Medical Imaging Purchases Saltzer Health Imaging
Intermountain Medical Imaging announced on April 1 that it is acquiring Saltzer Health Imaging from Saltzer Health. Saltzer Health Imaging is an imaging center located in the Ten Mile Clinic and near I-84 in Meridian, Idaho. This news comes the same week Saltzer Health announced the sale of three facilities to Boise, Idaho-based Saint Alphonsus Health System after the group was closed March 29 by Salt Lake City-based Intermountain Health. Those facilities included two urgent care centers in South Nampa and Meridian, Idaho, and an ambulatory surgery center in Meridian, Idaho. Intermountain Medical Imaging is a comprehensive outpatient radiology imaging center with three locations in the... Read More »
Kaiser Permanente Buys ASC in Lancaster, California
Oakland, California-based Kaiser Permanente announced that it has acquired its first ambulatory surgery center (ASC) in southern California. The ASC, Antelope Valley Surgery Center, is a multispecialty outpatient center in Lancaster, California. The 12,500-square-foot ASC provides services including general surgery, gynecological cases, eye surgery, head and neck, podiatry, orthopedic and plastic surgery. It was originally opened more than 20 years ago and was most recently operated by SCA Health. Kaiser Permanente is among the country’s largest not-for-profit health systems with 39 hospitals. Its operations span eight states coast to coast with roughly 13 million members who receive care... Read More »
Top M&A Trends in the 2023 Hospital Market
Introduction & The Numbers The Hospital sector saw a great deal of flux in 2023. Despite numerous macroeconomic and regulatory headwinds, year-over-year deal activity increased by approximately 10%, hitting 75 deals. For context, before COVID-19 rattled the industry, there were 96 hospital acquisitions and mergers in 2019. The market is on the rebound, but we’re still short of pre-pandemic levels. Deal volume only tells part of the story, however. A year with 75 health system mergers is very different than 75 acquisitions of single-facility organizations in distress, for example. There was still a mix of large and small mergers, but the M&A market is becoming more top-heavy. “We’re... Read More »Schedule a demo
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