2018’s Biggest Healthcare Deals by Sector
2018 isn’t quite in the rearview mirror yet. We’re still scouring the news feeds for straggling deal announcements, and that never stops, honestly. With approximately 1,850 deals reported so far for 2018, healthcare deal volume is 14% more than 2017. Before we nail the numbers down, it’s easy to spot the biggest deals (by disclosed price) in each of the 13 healthcare sectors we follow. Most should be familiar names, but you can’t follow every sector. That’s why we’re here. Enjoy. Read More »
Senior Housing and Care Market Still Strong in Q3:18
Merger and acquisition activity in the Long-Term Care sector, which includes senior housing and care companies, took off in the second and third quarters of 2018. The 110 deals announced in the second quarter set a record for a quarter, and the third quarter followed with a near repeat performance. The third quarter’s deal volume was down 6% compared with the previous quarter but 34% higher than the same quarter in 2017. The 103 deals made up 28% of the 368 deals announced within the past 12 months. Fifty-five of the 103 deals revealed prices, although none were greater than $194 million. The $1.7 billion total in Q3:18 is 73% lower than the previous quarter’s nearly $6.5 billion, and 35%... Read More »
Long-Term Care Deals Soared in August
As temperatures soared this summer, so did the dealmaking in the Long-Term Care sector. On the back of a solid July (27 deals total), August shattered the previous record-high of 37 announced deals for the month set in 2015 and the 27 deals recorded in August 2017 with an astonishing, and still-growing, 46 transactions. That puts the third quarter on track to most likely top Q3:15’s 99 deals for the sector. What has gotten into buyers this summer? Riding a wave of high consumer confidence and low interest rates, and in the face of numerous industry headwinds, investors are still confident in seniors housing and care properties to provide their desired returns. That is coupled with plenty... Read More »
Brookdale Sells Battery Park Property
Ventas, Inc. (NYSE: VTR) is now in the Long-Term Care record books. On August 20, the REIT announced it will pay $194 million, or $894,000 per unit, for Brookdale Senior Living’s (NYSE: BKD) Brookdale Battery Park property. We think that’s a record per-unit price. It was opened in 2000 at an approximate cost of $50 million. This 14-story, 240,000 square-foot independent living community overlooks the Hudson River in the Battery Park City neighborhood of Manhattan. Occupancy was in the low 90s. The acquisition was valued below replacement cost and represents an approximately 5% going-in yield on net operating income as reported by Ventas. Brookdale will stay on as operator under... Read More »
Healthcare Services Roundup through April 2018
It’s been quite a year for healthcare deals in general, with nearly 600 announced transactions in the first four months. That’s 7% more than there were announced in the first four months of 2017. Dollar volume has soared, too. In 2018, $141.8 billion has already been committed to fund the 588 transactions. Thanks to some mega-billion-dollar deals in 2018, the total is 30% greater than the nearly $109 billion spent in the same period of 2017. Collectively, the Services sectors are booming, which isn’t always the case. Services deals made up 63% of all deals in the first four months of 2018, and 57% of the disclosed dollars, now at $81.3 billion. The Technology sectors... Read More »Schedule a demo
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