Ian Bongaardt’s Post

We are seeing that buyers still have a healthy appetite for M&A transactions in the Home-Based Care Sector. While M&A activity was slow in the first half of 2024, claims of a decline have been exaggerated. New businesses are coming to market weekly, however due diligence is taking longer to complete as buyers are more cautious with investment. Download our latest report to see which businesses have been sold in the first half of 2024, keep up on M&A trends, and learn the specific drivers that can impact business valuation. https://bit.ly/4dLiuxo #mergers #acquisitions #MandA #mergersandacquisitions #trends #businesstrends #industrytrends #healthcare #homehealthcare #homecare #businessowners #valuations #investmentbanker #investmentbanking #investmentbank #middlemarket #finance

As the first quarter of 2024 closes, we're seeing a remarkable number of mergers and acquisitions in the healthcare sector, with 20 significant transactions recorded. This marks the most active quarter for healthcare deals since 2020. Strategic motivations vary, with smaller community health systems joining larger, financially stable organizations and for-profit and nonprofit systems realigning their portfolios. University-affiliated health systems are expanding their networks, incorporating community hospitals to manage patient flow and resources better. Four "mega mergers" stood out among these deals, involving parties with revenues exceeding $1 billion. This activity surge pushes these transactions' total revenue to around $12 billion. This dynamic period highlights the ongoing transformation within the healthcare industry. Organizations adapt to financial pressures and seek new partnership models to secure their future. Continuing these trends is likely driven by the need to mitigate financial risks and enhance service delivery. Are there particular challenges or opportunities you foresee in the healthcare M&A landscape? #healthcareM&A #strategicpartnerships #healthcareindustry #healthcare #healthcaresector #businesstransformation #garage2global #siliconvalley #siliconvalleylaw Brandee Diamond, Natasha Allen, Nicholas O'Keefe, Steve Millendorf, Jennifer Urban, André Thiollier, Eric Chow, Lyman Thai, Foley & Lardner LLP

Private equity acquisitions appear to have depleted, rather than augmented, hospital assets. After private equity acquisition, hospital assets decreased by 24% relative to that of controls during 2 years. https://ja.ma/4cIMdpS

20+ Digital Health companies went public in 2021: Where are they now? https://lnkd.in/eNCUk_DY The digital health IPO boom of 2021 saw a surge of companies entering the public market, but the landscape has shifted since then. Here's a breakdown: Number of IPOs: While some sources estimated over 20 digital health IPOs in 2021, a more confirmed figure is around 12 via traditional IPOs and an additional 8 to 10 going public through SPAC mergers SPAC vs Traditional IPO: Interestingly, a significant portion (around 13) of these public debuts in 2021 leveraged Special Purpose Acquisition Companies (SPACs) as an alternative to traditional IPOs Market Performance: The success of these companies in the public market has been varied. The broader economic slowdown and high-interest rates have impacted the tech sector in general, and digital health companies haven't been immune Future Outlook: While there haven't been significant numbers of digital health IPOs in 2023 and 2024 so far, some analysts view this as a temporary slowdown. Companies with strong financials and clear paths to profitability might find the IPO market more receptive again in the future. Nelson Advisors work with Founders, Owners and Investors to assess whether they should 'Build, Buy, Partner or Sell' in order to maximise shareholder value.   HealthTech M&A - Buy Side, Sell Side, Growth & Strategy services for companies in Europe, Middle East and Africa. Visit www.nelsonadvisors.co.uk   HealthTech M&A Newsletter from Nelson Advisors - HealthTech, Health IT, Digital Health Insights and Analysis. Subscribe Today! https://lnkd.in/e5hTp_xb   HealthTech Corporate Development - Buy Side, Sell Side, Growth & Strategy services for Founders, Owners and Investors. Email [email protected]   Healthcare Technology Thought Leadership from Nelson Advisors – Market Insights, Analysis & Predictions. Visit https://lnkd.in/eeX9Bcwa #HealthTech #DigitalHealth #HealthIT #NelsonAdvisors #Mergers #Acquisitions #Growth #Strategy https://lnkd.in/eNCUk_DY

Q1 2024 HEALTHCARE M&A UPDATE: Healthcare M&A appears poised to rebound in 2024. Strategic and financial buyers are eager to help founder-led businesses cut costs and expand their reach through consolidation. Valuations differ depending on the sector, with health systems and provider practices feeling more pressure on their margins compared to service-oriented businesses. Overall, mergers and acquisitions in healthcare are driven by the desire to achieve greater scale and efficiency in delivering care to patients. See recent healthcare transactions, projected M&A trends for 2024, and more in our latest update, https://bit.ly/4aECekM #Healthcare #MandA #Acquisition

🔓 Unlock Growth: Scioto Properties empowers healthcare providers with tailored real estate solutions. From flexible financing terms to strategic acquisitions, we're here to support your expansion efforts and enhance patient care. Learn more about how we can help you thrive in the healthcare industry. #Healthcare #RealEstate #Grow https://hubs.li/Q02y99mS0

Interesting read from Aziz Ul-Haq, Head of our Healthcare Sector Team, in HealthInvestor today 👍

In Q3 2024, the volume of announced mergers and acquisitions (M&A) surged, mirroring pre-pandemic activity levels. However, this uptick highlights a concerning trend: many organizations are facing financial difficulties and are struggling to find suitable partners. The bankruptcy of Steward Health Care has raised alarms about potential hospital closures in Massachusetts, prompting gratitude from state officials in Arizona for local health systems willing to acquire struggling hospitals. This situation reflects a broader issue, as many hospitals are in distress. In many cases, pursuing a merger with another hospital or health system—especially within the same market—could provide a more viable solution than outright closure. The latest Kaufman Hall M&A Quarterly Activity Report’s Q3 transactions illustrate the varied opportunities and challenges for hospitals and health systems seeking partners in the current market, while other announced transactions represent continuing themes of portfolio realignment and expansion into new markets. https://lnkd.in/entvYKdp #healthcaremanagement #mergersandacquisitions #healthcaretransactions

In the dynamic world of health care mergers, addressing risks before closing and implementing a comprehensive integration plan is crucial. Private equity firms and their health care portfolio companies can navigate the complexities of pre- and post-merger integration more effectively. This strategic approach not only accelerates the deal timeline to capture value but also anticipates compliance needs and preserves patient care outcomes. 🏥 https://rsm.buzz/3Yv583x

Healthcare mergers and acquisitions are in no short supply as providers, health tech companies, retailers and other industry players look to expand their businesses and gain a competitive edge. #JLLHealthcare #HealthcareFacilities #PatientExperience