After a slowdown largely attributed to the collapse of Silicon Valley Bank in the first quarter of the year, venture capital (VC) firms have resumed making investments in behavioral healthcare. VC was cited as the largest driver of activity in the latest behavioral healthcare mergers and acquisitions activity report published this week by the M&A advisory firm Mertz Taggart, Behavioral Health Executive reports.
The report, which lists a total of 34 behavioral healthcare transactions announced in the 3-month period ending July 30, includes 13 VC-backed deals representing nearly $400 million in new investment in the industry.
“The prevailing theme for the deals, most of which involved mental healthcare organizations, was a familiar refrain: Enable access for more patients who need services while saving the healthcare system and payers money,” Mertz Taggart Managing Partner Kevin Taggart said. “If you can show a path to do that at scale, you’ll likely generate investor interest.” Read more.
