Services Help Keep Healthcare Investment Alive and Kicking

Bain Capital has agreed to acquire Physio-Control from Medtronic (NYSE: MDT) in a $487 million transaction. Debt financing is being provided by Citigroup Global Markets and RBC Capital Markets. Physio-Control provides emergency medical response technology for use in the intervention and treatment of cardio-respiratory and other medical emergencies. The business' products include LIFEPAK monitor/defibrillators, the LUCAS 2 chest compression system and the LIFENET System cloud-based data management tools.

Since the beginning of 2010, PE investors have invested in 369 companies in the Healthcare industry, according to the PitchBook Platform. So far this year, 170 Healthcare deals have been completed, 29 of which are from this quarter. The Services sector has accounted for over half (55%) of the activity during the almost two-year time period. Devices & Supplies has been the second most popular sector among PE investors, accounting for about 23% of the activity.