Rehab Companies Still on the Prowl
M&A in the rehabilitation sector has been pretty slow this year. So slow, in fact, no deals were recorded in February. The first week in March, however, things picked up. U.S. Physical Therapy, Inc. (NYSE: USPH) announced it acquired a 55% stake in an unidentified physical therapy practice that operates through eight clinics. The stake cost $13.7 million, and the business generates approximately $9.0 million a year on roughly 65,000 patient visits. The second deal came from MOTION PT Group, Inc., a portfolio company of Pharos Capital Group, which is getting into physical and occupational therapy in a big way. MOTION PT was launched in 2015, and began buying up PT companies in the New... Read More »
LifeCare Hospitals Moves Into Home Health
LifeCare Hospitals, part of LifeCare Holdings LLC, specializes in treating chronically ill and medically complex patients in post-acute settings. This week, it announced the acquisition of Haven Home Health, LLC, a multi-location home healthcare provider in the greater Dallas-Fort Worth metro area. The acquisition is part of LifeCare’s strategic expansion in the post acute market. In May 2011, the company paid $117.5 million for five long-term acute care hospitals owned by HealthSouth Corporation (NYSE: HLS). LifeCare Holdings itself was acquired by The Carlyle Group in July 2005 for $555 million, from GTCR Golder Rauner. In December 2012, the private equity firm sold LifeCare to... Read More »Software for Sleep Disorders Attracts $800 Million
Sleep-disordered breathing is big money. Anyone who has laid awake night after night beside a chronic snorer would pay just about anything for a bit of quiet, most likely. Enter ResMed Inc. (NYSE: RMD), which has built its business on medical devices to treat sleep-disordered breathing and respiratory care. The company has made several acquisitions over the years, predominently in the medical device sector (see chart below). Targets have ranged from the German firm MAP Medezin-Technologie, acquired in 2001, to the Chinese sleep-device maker Curative Medical, a more recent acquisition in 2015. Two recent transactions have focused on the digital side of healthcare delivery. ResMed paid an... Read More »Wipro Ltd. Executes on Its Growth Strategy
Acquiring, servicing and retaining customers is now a critical part of the health insurance business. That’s why global IT and business services company Wipro Limited (NYSE: WIT) agreed to pay $460 million for HealthPlan Services, a portfolio company of Water Street Healthcare Partners. HealthPlan Services offers a fully integrated business-process-as- a-service (BPaaS) solution to health insurance companies in the individual, group and ancillary markets. HealthPlan Services provides U.S. payers with a diversified portfolio of health insurance products delivered through its proprietary technology platform. It connects its payer clients to more than 40 public exchanges and more than... Read More »IBM Watson Health Buys Truven Health Analytics
Big Healthcare Data just got bigger. IBM (NYSE: IBM) has spent some $4 billion in the past 12 months to build out its Watson Health division. The latest and largest deal is for Truven Health Analytics, for $2.6 billion. Truven Health provides cloud-based healthcare data, analytics and insights to more than 8,500 clients, including federal and state government agencies, health plans, hospitals, clinicians and life sciences companies. Veritas Capital is making a good $1.35 billion on the sale of Truven, which it acquired in 2012 for $1.25 billion, from Thomson Reuters Corp. (NYSE: TRI). Truven Health’s extensive data set will be integrated into IBM’s Watson Health Cloud, creating... Read More »Schedule a demo
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