Managing PE portfolio healthcare costs in an expensive climate
April 10, 2018
The private equity landscape in the US remains complex, marked by high valuations and consistently elevated investment volume. Healthcare is no different, with vibrant investor interest in niche segments such as behavioral health and process management software. PE activity in the US healthcare sector reached a peak in volume last year, with 474 completed transactions for an aggregate of close to $75 billion in value.
Revenues are climbing steadily, with a peak last year among US healthcare businesses per PitchBook datasets, but that may be more attributable to the fortunate economics of the industry, although given consolidation many organizations have been forced to become more efficient and focused on the bottom line. UHC and PitchBook have joined forces to produce an industry brief that looks at how PE firms can help mitigate their portfolio companies' healthcare costs. Click here to read the full brief.