9 Health Systems Hit with Credit Downgrades

The Michigan legislature cut the rates of home care and residential caregivers by 45%, effective April 1.

In healthcare services and health-focused IT sectors, the number of deals reached fresh lows in Q2—down more than 70% from peak dealmaking times in the fourth and second quarters of 2021, respectively, according to PitchBook.

If recessionary trends continue, PE funds have an opportunity to tailor their strategies to meet current challenges by targeting downturn-resilient investment themes, being more creative in their deal strategies to make transactions happen in a credit-constrained environment, and updating value creation playbooks to respond to near-term headwinds against revenue expansion.