Category: Acquisitions
About 73% of health insurance markets are highly concentrated, and in 46% of markets, one insurer had a share of 50% or more, a new report from the American Medical Association shows. The report comes a few months after President Joe Biden directed federal agencies to ramp up oversight of healthcare consolidation.
Which capital funding options fit your healthcare or life science business?
The mortality rates at rural hospitals for certain conditions, including heart attacks and stroke, decreased in the years following a merger or an acquisition compared with facilities that remained independent, a new study shows. This is a departure from research done on the effects of M&A on urban hospitals.
In the second quarter of 2021, the top five deals alone were worth $1.6 billion, representing 30% of the total funding raised. In addition, six telehealth companies joined the unicorn club, including LetsGetChecked and Thirty Madison.
Eli Lilly has Protomer Technologies, a preclinical startup developing next-generation insulin that senses blood glucose levels and adjusts its activity accordingly. The technology could eliminate the need for multiple insulin injections throughout the day.
President Joe Biden has signed a new executive order to tackle anti-competitive behavior across American industries. With regard to healthcare, Biden is directing federal agencies to revise guidelines for hospital mergers, enable people to comparison shop health plans on the ACA marketplaces and work with states to import drugs from Canada.
The total number of mergers and acquisitions in healthcare fell below historic figures for the second quarter of the year, but total transacted revenue remained high at $8.5 billion. Trends appear to be shifting however, with an increasing number of regional partnerships occurring among health systems as opposed to acquisitions of independent hospitals.
The Covid-19 pandemic spurred the rate of physician practice acquisition by hospitals and corporate entities, like payers and private equity firms, a new report shows. As a result, by January 2021, about 48% of physician practices across the country were owned by one or the other entity.
M&A activity in the healthcare finance technology is heating up, evidenced by large transactions such as Cedar buying OODA Health and R1 RCM buying VisitPay. Experts agree that this activity won’t end anytime soon, and it will have a positive impact on providers and patients.
Though the number of merger and acquisition deals in the first quarter of 2021 fell below historical averages, the size of the deals was far bigger than the same period last year, a new report from Kaufman Hall shows. The total transacted revenue was $8.8 billion, the second-highest Q1 figure in the last five years.
Peter Meath, J.P. Morgan Commercial Banking’s Co-Head of Healthcare and Life Sciences, applies lessons from 2020’s remarkable second half and shares insights on what to expect in 2021.
Merck agreed to pay $215 million up front to acquire Alydia Health, a startup that has commercialized a medical device that controls bleeding during childbirth. That product will join the portfolio of Merck spinout company Organon.
Grifols’s acquisition of GigaGen comes as the startup’s Covid-19 antibody drug is set to start Phase 1 testing. Barcelona-based Grifols says GigaGen’s technology could also help it expand to engineered antibody therapies.
Takeda Pharmaceutical and Maverick Therapeutics have been R&D partners since 2017. In buying out its partner, Takeda acquires technology and drug candidates that could offer advantages compared to CAR-T therapies, including the potential to treat solid tumors.
As a result of rapid consolidation, the 10 biggest health systems controlled 24% of market share based on patient revenue by 2018. The trend is expected to continue through the next decade, with health systems facing growing financial pressures and an increase in demand for new types of care delivery.