Managed Care Sector Had a Big Q4:17

Managed Care Sector Had a Big Q4:17

The fourth quarter of 2017 will be remembered for some time to come, thanks to the game-changing deal announced between pharmacy/retailer CVS Health and Aetna, one of the largest managed care companies in the country. That was only one deal, of course, and there were actually 10 transactions announced in Q4:17. Fourth quarter deal volume represents a 38% share of the 26 deals announced in the previous 12 months, and a 150% increase over the same quarter in 2016. Source: HealthCareMandA.com, January 2018 Two of the 10 deals disclosed prices in the fourth quarter, for nearly $80.6 billion, the highest ever recorded in this sector, or several others. The total represents 95% of the $84.7... Read More »

2017 Biggest Healthcare Deals by Sector

2017 was another big year for billion-dollar healthcare transactions. Among the deals that disclosed prices, 44 topped the billion-dollar mark, for a total of approximately $263.1 billion. Although that number seems high, there were 50 billion-dollar deals announced in 2015, although those totaled a slightly lower $240.1 billion. 2016 posted lower totals for both the number of billion-dollar deals (39) and combined prices ($194.1 billion). Of course the biggest healthcare deal in 2017 was the $77 billion acquisition of Aetna Inc. (NYSE: AET) by CVS Health (NYSE: CVS). But there were many more sizable transactions across the sectors, as the chart below illustrates. See how many you remember... Read More »
Q4:17 Redefined Healthcare M&A

Q4:17 Redefined Healthcare M&A

Despite all the big deals announced in December, the fourth quarter of 2017 wasn’t one for the record books. Merger and acquisition activity was busy, but compared with the previous quarter and the same period in 2016, the pace wasn’t frenetic. Our preliminary data shows 357 transactions were announced in Q4:17, down a slight 4% compared with the third quarter of 2017, and down 8% versus the fourth quarter of 2016. Dollar volume, on the other hand, was quite high. Preliminary data (again) shows nearly $114.3 billion was spent in Q4:17, a 165% gain over Q3:17, and nearly 200% over Q4:16. That total rests largely on the back of a single deal, which you’ve probably heard... Read More »
Top 10 Health Care Deals of 2017

Top 10 Health Care Deals of 2017

“Variety” best describes the top 10 healthcare deals announced in 2017. The target companies spanned sectors from Biotechnology and Medical Devices to Managed Care and Other Services. You know the healthcare game is changing when just a single pharmaceutical target made the list in 2017, compared with six of the top 10 deals in 2015. The 10 largest deals total $182.1 billion, and account for 59% of the year’s preliminary deal value total of approximately $310.7 billion. In 2016, the top-10 accounted for 51% of the year’s $256.7 billion in spending. In 2017, a Managed Care target was again the largest target of the year. Unlike in 2o15, when the Big Five managed care companies... Read More »
Top 10 Health Care Deals of 2017

Stat of the Week: Healthcare M&A Spending up 18% in 2017

The year hasn’t ended, and there are still two weeks to go in the fourth quarter of 2017. The holidays are already under way, with more on the horizon. Before we get too busy, here’s a quick look at where things stand in mid-December. Total healthcare mergers and acquisitions reached 1,467 deals as of December 14. That’s only 7% lower than the combined total for all of 2016, at 1,574 deals. Spending on these transactions is already higher. This year’s dollar volume currently stands at approximately $303.9 billion, up 18% compared with last year’s total of $256.7 billion. Much of the credit for the spending rise goes to the largest single transaction announced... Read More »