2022 turned out to be a record year in the healthcare M&A market, so it was inevitable that 2023 began more slowly, especially given the many persistent headwinds (e.g., rising costs of labor and borrowing, ongoing inflation, and fears of a recession more generally).
“Deal volume and multiples are down across the various sectors. However, as interest rates settle and sellers become accustomed to the “new normal” in terms of pricing, and as we move through the recession—which commentators expect will be short and shallow—we anticipate the market will hold steady and buyers will ultimately look to deploy their accumulating capital during what could be a busy rest of 2023,” Bass, Berry & Sims note in a new report. In the meantime, deals are still getting done, and there are reasons to be optimistic. Read more.
