Telehealth: Answering the Call
If you’ve attended any healthcare deal-making conference in the last few years, you’ve heard that telehealth is one of the hottest target sectors going, right up there with autism services and physician practices (dermatologists, ophthalmologists, dentists, you name it). It’s caught in something of a perfect storm at the moment, as more states and regions implement laws to facilitate telehealth services. On the federal level, the Centers for Medicare and Medicaid Services on April 5, 2019 finalized policies that increase plan choices and benefits, including allowing Medicare Advantage plans to include additional telehealth benefits. Private health insurers have been offering telehealth... Read More »
Centene Acquires WellCare Health Plans
The sleepy Managed Care sector woke up to a big deal last week. Centene Corporation (NYSE: CNC) announced it will acquired WellCare Health Plans (NYSE: WCG) for approximately $17.4 billion. M&A among managed care companies has been dormant since 2015. That’s when, in June, the U.S. Supreme Court upheld the tax subsidies provided as part of the Affordable Care Act. Forty-four deals were announced that year, not including the two mega-mergers between Aetna (NYSE: AET) and Humana (NYSE: HUM) for $37 billion and between Anthem (NYSE: ANTM) and Cigna (NYSE: CI) for $54 billion. Since the U.S. Department of Justice (DOJ) successfully challenged those mergers in 2017, they’ve... Read More »
Home Health & Hospice Is Primed for Consolidation
The Home Health & Hospice sector is far less fragmented than it was just five years ago. The sector has seen a lot of activity, thanks to the push by payors to move patients towards lower-cost post-acute care settings. That has attracted a lot of investor interest in recent years, and 2018 proved to be a watershed moment as the large-market private equity firms moved in to acquire or build national platforms. Deals by publicly traded companies have changed the sector in significant ways, too. Some merged, such as LHC Group (NASDAQ: LHCG) and Almost Family, Inc. have morphed to focus more on home health than other services, such as Encompass Health Corp. (NYSE: EHC), formerly known as... 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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