Preliminary Data: Q3 M and A

There’s still one week left to go in the month of September, and the third quarter, but the trends have already established themselves. Merger and acquisition activity in health care dropped 20% compared with the previous quarter, down to 331 deals compared with 415 in Q2:16. The third quarter also pales in comparison to the same […]

Third Quarter 2016 Shows Signs of Slowing

Eight months into the year is a good time to take stock of the state of the healthcare M&A market. On the whole, volume and value look to be stronger than last year. The first eight months of 2016 show a combined total of 1,019 transactions, compared with 1,005 in the same period in 2015, […]

Molina Adds Aetna & Humana MA Assets

Aetna (NYSE: AET) and Humana (NYSE: HUM) remain undaunted by the pending litigation from the U.S. Department of Justice, challenging their proposed $37 billion merger. The two companies announced they would sell certain Medicare Advantage (MA) assets to Molina Healthcare (NYSE: MOH) for a total estimated $117 million in cash for both transactions. The price is […]

Managed Care Mega-Deals Not Too Big to Fail

2015 is about to lose even more of its M&A luster, it seems. Some $91 billion is about to disappear from the record-setting spending on healthcare M&A, thanks to the potential unraveling of two managed care mega-mergers. Bloomberg is reporting that the U.S. Department of Justice plans to file lawsuits seeking to halt the mergers of Aetna (NYSE: AET) […]

Managed Care M&A in 2016

The Managed Care sector woke up in 2015 with a spate of mega deals announced in July, following the positive SCOTUS decision in King v. Burwell in late June. While Anthem (NYSE: ANTM) and Aetna (NYSE: AET) got the most press for their multi-billion bids for Cigna (NYSE: CI) and Humana (NYSE: HUM), respectively, others […]

Health Care M&A Exploded in July

The fireworks didn’t end on the Fourth of July, at least for the health care M&A market. Preliminary data shows deal volume rose 16% to 121 deals, compared with June’s 104 deals. Thanks to the mega-deals among health insurers and generic drug makers, deal value was approximately $166.6 billion, up 883% over June’s $16.9 billion. […]

Health Care Insurer Mergers: Who Got the Best Deal?

You’ve heard the prices, now here are the multiples. After hours of teasing about a definitive agreement, Anthem, Inc. (NYSE: ANTM) finally reached an agreement to acquire Cigna Corp. (NYSE: CI) for $54.2 billion. That works out to 1.5x price/revenue and 13.9x price/EBITDA. The deal followed Aetna’s (NYSE: AET) $37 billion acquisition of Humana Inc. (NYSE: HUM), which gives us a multiple […]

Molina Healthcare Steps Up Its Game

The big buzz in the Managed Care sector is the $37 billion bid from Aetna (NYSE: AET) for Humana Inc. (NYSE: HUM), of course. While that deal is lauded for the Medicare assets it brings to Aetna, Molina Healthcare (NYSE: MOH) continues to beef up on Medicaid assets. Last week it announced two deals, one […]

The Giant Health Insurers Are Circling

It began in May, with Humana Inc. (NYSE: HUM) publicly declaring it was exploring a sale. That announcement ignited the smoldering rumors that have been swirling around the healthcare industry since the beginning of 2015: Expect a lot of consolidation in the Managed Care sector this year. By mid June The Wall Street Journal reported […]