Other Services Diversify, but CRO and Outpatient Care still lead

Other Services Diversify, but CRO and Outpatient Care still lead

In 2017, our annual Health Care Services Acquisition Report, the Other Services sector featured six particularly active subsectors. Last year we had 13. Other Services includes areas such as specialty pharmacy, urgent care and ambulatory surgery centers and medical staffing companies. All are experiencing significant changes. In 2017 we reported 153 deals in Other Services, compared with 179 in 2018. A new notable field includes deals involving medical transportation services. There were a total of 10 deals in this category. Perhaps the most significant transaction was Beekman Investment Partners III, LP’s purchase of REVA, Inc., the largest global fixed-wing air medical platform in... Read More »
Healthcare Services Roundup through April 2018

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 »
Healthcare Services Roundup through April 2018

April 2018 Healthcare Deals Explode

Boom! That was April 2018’s M&A results breaking the sound barrier. With 167 transactions, the monthly deal total (almost) blew away the record for deals in a single month. The current record is now January 2017, with 178 transactions. With time, as more deals come to light, April 2018 may be the new champion. Deal volume was 21% higher than the 138 transactions reported in March 2018, and up 55% compared with April 2017’s 108 transactions. The Long-Term Care sector was a major force behind the surge in deal volume. A record 46 deals were reported, representing a 92% increase over March’s anemic 24 deals, and a 130% gain over the 20 deals reported a year earlier.... Read More »
Healthcare Services Roundup through April 2018

Q1:18 Health Care Spending: $112.9 Billion

A total of $112.9 billion was spent to fund the 386 transactions reported in Q1:18, based on disclosed prices. Total spending was about 2% lower than the $115.1 billion reported in the previous quarter. The Other Services sector dominated the dollar side of deal making, accounting for 60% ($68.2 billion) of spending. A single deal accounted for 59% of the quarter’s total, as Cigna (NYSE: CI) announced its acquisition of Express Scripts Holdings (NYSE: ESRX) for $67 billion, including debt. Source: HealthCareMandA.com, April 2018 The Biotechnology sector made up 28% ($31.2 billion) of spending in the first quarter. Many of the deals were front-loaded into January, so their announcements... Read More »
Healthcare Services Roundup through April 2018

Q1:18 Health Care M&A Stays Strong

Health care merger and acquisition activity in the first quarter of 2018 kept pace with the previous quarter in 2017. Compared with the fourth quarter of 2017, deal volume increased 1%, to 386 transactions. However, deal volume was down 12% compared with the same quarter the year before. Combined spending in the first quarter reached $112.9 billion, a decrease of 2% compared with the nearly $115.0 billion spent in the previous quarter, according to HealthCareMandA.com. Thanks to the announcement of a multi-billion-dollar deal in Q1:18, deal value rose 90% compared with $59.6 billion spent in Q1:17. Health Care M&A Market – Deal Volume by Sector Source: HealthCareMandA,com, April 2018... Read More »