Despite a small dip in the very beginning of 2022, it appears M&A activity in the healthcare sector is roaring back. Now that the worst of the pandemic appears to be behind us, and if recent trends in hospital consolidations and restructuring activities are any indication, it looks like healthcare players and private equity will continue making deals well into 2022, according to Buchanan Ingersoll Rooney.
For PE buyers, healthcare practices have long been an attractive investment. With the consistent cash flows and growth potential that primary care offices, dental offices, specialty practices and many other healthcare organizations provide, it’s no wonder that annual PE deal values in healthcare have tripled since 2010.
However, identifying potential targets to acquire is usually the easy part for PE firms. Most often, the term sheet and definitive agreement negotiation process is the most burdensome aspect of the process. At Buchanan, our attorneys have overseen a plethora of these types of transactions and know the intricacies and best practices when it comes to negotiating a deal. The article explores the top 12 questions PE firms should ask when negotiating the purchase of a physician practice or other healthcare entity. Read more.
