Category: Healthcare Checkup

2Q24 Healthcare Check-Up

Improving capital markets conditions during 2024 should boost M&A activity overall. We are sensing a more optimistic view around transactions beginning to take shape, with more sponsors actively looking to deploy capital and debt financing easier to come by.

Commercial banks have returned to the market after a lull in 2023. We expect to see continuing activity in retail and specialty pharmacy throughout the year as large owners of assets continue to restructure their portfolios. We also expect the hospital, clinic and surgery center sectors to remain active. Significant activity in staffing is likely to be delayed due to continuing post-Covid fallout in shifts and bill rates.

Read the full report here.

While Q2 2023 hinted at stabilization, transaction activity in the sector ultimately declined during Q3 2023. Despite this, we anticipate a busier 2024, driven by the significant amount of capital raised by private equity funds in the past two years. In terms of public market performance for the past 12 months (Q4 2022 to Q3 2023), Rehabilitation emerged as the best performing sub-sector, while Specialty Pharmacy Services suffered the worst performance, comparatively. Read the full report here.