Health-care mergers and acquisitions continued at a steady pace in April in the face of rising interest rates and ongoing uncertainty from the Russian invasion of Ukraine.
The total number of transactions for the month was 176, up slightly from 174 in March, but down from 207 deals in April 2021. …
Devices, Physician Practices …
Activity in the physician group sector continues to be strong and appears likely to continue at a brisk pace, according to health-care investment bankers and attorneys, said Gary Herschman of Epstein, Becker & Green PC in Newark.
The first four months of 2022 saw deals in the double digits in several physician-practice subsectors, including primary care, eye care, and dermatology.
Others showing steady activity include gastroenterology; orthopedics; women’s care; ear, nose and throat practices; and podiatry, Herschman said.
“Experts are expecting a big uptick in the volume of orthopedic group deals throughout the year,” Herschman said. “Further, consolidation of cardiology groups is starting to ramp up, with this subsector expected to see growing volume throughout the year.” …
Activity in the health-care IT sector sends a strong signal that telemedicine initiatives are becoming a permanent solution across many care settings, said Anjana Patel of Epstein Becker & Green.
One example was the announced transaction between United Wound and Skin Solutions LLC, a provider of virtual health services, and Precision Healing Inc., a health-care technology company with a diagnostic platform for wound healing, she said.
April was also a solid month for cannabis transactions, as the sector extended its streak to 16 consecutive months of producing double-digit deal volume, said Timothy McHale of Epstein Becker & Green.
Deals took place in 10 different states, including Texas and Wyoming, and across the full spectrum of services, including therapeutics, cultivation, manufacturing, and dispensing, he said.
Epstein Becker Green and KPMG did not comment on any particular transaction or party discussed or listed in this article.