Deals in most sectors have been down during the first few months of 2022 compared with the high-powered deal environment seen in the first months of 2021. Yet, areas of health services are showing strength, even as uncertainty persists around inflation, supply chain issues and COVID, PWC reports.
Health services deal volume was down 9% from the fourth quarter of 2021 to the first quarter of 2022, but volume remains strong when comparing the last 12 months ending May 15 to the prior year period. Deal volume across all health service subsectors increased 5% in the year ending May 15, as compared to the previous twelve months. Yet, the value of those deals was down 17% to about $176 billion for the period. The increased deal volume is driven by roll-up transactions, an effort by the industry to consolidate still fragmented subsectors of the healthcare ecosystem. These transactions are meant to create health systems that can deliver higher quality, patient-centric care anchored in digital capabilities. Read more.
