The worker shortage across the US healthcare system is restricting private equity dealmaking in the sector as some businesses struggle to grow and higher payrolls cut into margins, according to PitchBook.
The decreasing pool of workers has touched nearly every aspect of healthcare services, with behavioral health practices and home health agencies hit the hardest, PitchBook’s latest Healthcare Services Report reveals. “The job of a private equity firm in the space has gotten more difficult—or the bar to success has gotten higher,” said Rebecca Springer, a senior analyst at PitchBook who authored the report. “It’s not just a simple roll-up anymore.” Read more.
