LTC Deal Volume Down Slightly in Q3, Still Up Significantly From Last Year

Mergers and acquisitions across most health care sectors increased in the third quarter of 2021, though long-term care deal volume showed a slight dip.

There were 107 M&A’s reported for long-term care in the third quarter, down from 111 deals in the second quarter, according to data from Norwalk, Conn.-based Irving Levin Associates. The numbers still show a significant bump compared to where they were a year ago when 60 deals were reported for Q3 2020 — despite some of the challenges the nursing home sector currently faces.

Overall, health care M&A activity increased in the third quarter of 2021 — with 597 deals reported compared to 581 deals in the second quarter. That’s a 3% jump from quarter-to-quarter as an already hot market continued to stay that way.

The most notable jump, 28%, was seen in other services demand, with deals for specialty pharmacy providers up significantly — 125% — from the previous quarter.

Long-term care transactions came in first place for the second quarter in a row in terms of combined deal volume for the quarter, totaling 18% of the deals reported. The 107 deals reported for long-term care were much higher than the 36 deals in home health and hospice.

Deal value totaled $133.3 billion for the quarter, based on disclosed prices, up 4% from the second quarter when $128.8 billion was spent, and up 18% from spending in the third quarter of 2020. Deal value was also 18% higher compared to the previous quarter, despite having only 16 more deals taking place.

This news is republished from another source. You can check the original article here

Be the first to comment

Leave a Reply

Your email address will not be published.