Gary W. Herschman, Member of the Firm, in the Health Care & Life Sciences practice, in the firm’s Newark office, was quoted in Bloomberg Law Health Law & Business,in “Health-Care Deals Steady, Strong Through First Third of 2019,” by Mary Anne Pazanowski. Paul D. Gilbert, Member of the Firm, and Yulian Shtern, Associate, in the Health Care & Life Sciences, also advised on the article. (Read the full version – subscription required.)
Following is an excerpt:
Consistency is the name of the game for health-care industry transactions in 2019 so far.
January started with an explosive 111 deals announced and/or closed, but activity has leveled off in the following months. There were 83 deals announced or closed in April, as opposed to 85 each in February and March, according to a list compiled for Bloomberg Law by investment bankers ECG Management Consultants and Provident Healthcare Partners LLC.
The slight dip was expected, as January often sees heightened activity involving deals put together during the prior year. It also isn’t concerning because 2019’s overall deal volume should exceed 2018 levels, Gary W. Herschman, a member of Epstein Becker & Green in Newark, N.J., told Bloomberg Law.
And the second half of the year should be stronger than the first half, Herschman predicted. …
In addition, “many hospitals outside major metropolitan regions—throughout ‘middle America’—are just now seriously exploring their strategic options for future survival and success,” Herschman said. …
The long-term care sector remains the leader of the pack as far as deal volume goes.
That trend will continue throughout 2019 and beyond, as baby boomers age and the demand rises for both facilities-based and in-home-based care, Herschman said. …
Meanwhile, the list of health-care specialties being courted by experienced investor-driven platforms keeps expanding, Herschman said.
Ophthalmology, dermatology, orthopedics, gastroenterology, radiology, urology, obstetrics and gynecology, vein surgery, and primary care all are being considered as good consolidation candidates, he said.