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Healthcare Services Report

Q4 2023

Healthcare Services Report

February 8, 2024

A frosty winter for private equity in healthcare services 

PE dealmaking in healthcare services declined an estimated 16.2% year-over-year in 2023, while platform deals hit a seven-year low as acquirers reeled from high interest rates and a prolonged labor crunch. Healthcare services companies made up 20% of leveraged loan default value in 2023, and large deals remain difficult to finance, according to our Q4 2023 Healthcare Services Report. 

In 2024, rainmakers will be closely following interest rate cuts and antitrust scrutiny targeted at PE healthcare services as they wait for more favorable exit opportunities.  

Table of contents
PE activity 3
Healthcare services PE ecosystem market map 12
Healthcare services PE investor map 13
Q4 2023 timeline 14
Segment data 15
       Generalist & multispecialty providers 16
       Ancillary & outsourced services 17
       Physician practice management companies (PPMs) 19
       Skilled care & behavioral health 22
Spotlights 24
       2023’s top three categories 25
       Obstetrics & gynecology 29
       Direct primary care 33
Appendix 38