The changing face of long-term care continues to drive merger and acquisition activity for the fifth straight year, according to two new reports.
Deal volume involving long-term care and assisted living properties jumped 7.3% in the second quarter of 2019 versus the same period last year, according to PricewaterhouseCoopers’ U.S. Health Services Deals Insights.
Overall, such transactions made up 41% of 543 healthcare transactions in the first six months of 2019, PwC said. The auditing giant also said that the long-term care subsector had the highest number of quarterly deals at 114, continuing a stretch that dates to 2014.
Its analysts said the sustained growth was influenced by capital availability; interest rates; regulation, policy and tax reform impact; inpatient volumes pressure and high costs; cross-industry deals; and the pursuit of capabilities that target specific patients.
Citing slightly different numbers, attorneys and analysts with Epstein, Becker & Green reported in Bloomberg News in late July that the long-term care sector was the most active in healthcare through June. Their analysis included 143 announced or closed transactions.
From the September 2019 Issue of McKnight's Long-Term Care News
