Overcoming the Cost of Healthcare Transformation Through Partnerships

In recent years the healthcare industry has experienced significant changes, which have been further accelerated by the COVID-19 pandemic. Shifts in healthcare delivery, regulation, and expectations of providers will likely create both opportunities and imperatives for incumbents and new entrants to create new approaches to delivering and financing care, McKinsey & Company reports.

In this context, many of the largest players are turning to M&A to build new businesses and access new capabilities. In an environment of high competition for innovative assets and the growing involvement of institutional investors, however, many organizations may find M&A increasingly out of reach to pursue on their own. Partnerships—including joint ventures (JVs) and alliances with other healthcare organizations and new entrants—may offer a promising avenue to access new capabilities, increase speed to market, and achieve capital, scale, and operational efficiencies. Read more.

Related Posts