Gary Herschman Quoted in “August Health-Care Deals Propel 2019’s Record-Setting Pace”

Bloomberg Law

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, in “August Health-Care Deals Propel 2019’s Record-Setting Pace,” by Mary Anne Pazanowski.

Following is an excerpt:

The momentum in health-care industry transactions activity keeps building as the year moves on, with August being one of the busiest months.

There were over 150 deals announced or closed, compared to 103 deals during the same month in 2018, according to a list of select transactions prepared for Bloomberg Law

The 900 deals listed in 2019 so far reflect “an ongoing and steady uptick” in activity that is expected to continue through December and for several more years to come, Gary W. Herschman, a transactions attorney at Epstein Becker Green, Newark, N.J., told Bloomberg Law.

No slowdown is expected going into the last quarter of the year … Some experts are even saying a national recession wouldn’t impact health-care deal volume, Herschman reported. …

Health IT is a popular sector for dealmaking because enhanced IT platforms and data analytics tools are helping health-care providers reach their goal of providing cost-effective, quality care, Herschman said. …

Long-term care continued its deal dominance in August, with 30 deals announced or closed during the month. Add in the home health and hospice care sector transactions, and deals in the long-term care continuum have nearly reached the 250 mark in 2019, Herschman said.

Providing cost-effective care to the growing elderly population “is the focus of just about every health-care industry player,” he said. …

Most of August’s hospital deals were of the “add-on” variety, as existing systems picked up additional facilities, Herschman said. But he expects to see several system-to-system mergers over the next 24 months, resulting in more and bigger regional and national health systems, he said.