Behavioral Health Business cited the analysis of health care deals in the second quarter of 2022, co-authored by Gary W. Herschman, Anjana D. Patel, and Timothy (Tim) C. McHale,  Health Care Mergers and Acquisitions attorneys, in “Behavioral Health Transactions Down After ‘Outlier Year,’ But Ample Dealmaking Action Still Expected,” by Laura Lovett.

Following is an excerpt:

Behavioral health deal pace is slowing after 2021’s record-breaking year. Overall, the behavioral health sector saw 53 deals in the first half of 2022.

That’s according to data from KPMG LLP, Epstein Becker & Green and FocalPoint Partners. …

But those numbers don’t necessarily tell the whole picture because 2021 was an outlier year.

Prior to 2021, the number of behavioral health deals was steadily increasing. For example, in 2019, there were 49 deals. Meanwhile, in 2020, there were 80 deals. The number of behavioral health deals in 2022 is expected to exceed the deal volume in 2020 by 30%. …

Only about 27.89% of behavioral health needs are met in the U.S., according to the Designated Health Professional Shortage Areas Statistics for Q3 2022. …

Yet analysts predict behavioral health will weather the bear market and continue to have a consistent deal volume.

“We expect stable volume in behavioral health transactions, including deals related to substance abuse, other addiction disorders and basic mental health care, as the demand for all of the foregoing is expanding due to many factors, including pandemic-induced burnout, isolation and depression,” KPMG, Epstein Becker & Green and FocalPoint Partners said in the recent analysis.

Jump to Page

Privacy Preference Center

When you visit any website, it may store or retrieve information on your browser, mostly in the form of cookies. This information might be about you, your preferences or your device and is mostly used to make the site work as you expect it to. The information does not usually directly identify you, but it can give you a more personalized web experience. Because we respect your right to privacy, you can choose not to allow some types of cookies. Click on the different category headings to find out more and change our default settings. However, blocking some types of cookies may impact your experience of the site and the services we are able to offer.

Strictly Necessary Cookies

These cookies are necessary for the website to function and cannot be switched off in our systems. They are usually only set in response to actions made by you which amount to a request for services, such as setting your privacy preferences, logging in or filling in forms. You can set your browser to block or alert you about these cookies, but some parts of the site will not then work. These cookies do not store any personally identifiable information.

Performance Cookies

These cookies allow us to count visits and traffic sources so we can measure and improve the performance of our site. They help us to know which pages are the most and least popular and see how visitors move around the site. All information these cookies collect is aggregated and therefore anonymous. If you do not allow these cookies we will not know when you have visited our site, and will not be able to monitor its performance.