Healthcare investments reach a stable condition
Asset-level data shows the sector is on the mend after a difficult couple of years.
Medical education gap presents an opportunity for private equity
The pressing need for more healthcare professionals globally is proving a tailwind for PE investors in medical education.
LATEST HEALTHCARE NEWS
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The healthcare industry has long been a staple among private equity investors. Healthcare’s total deal value climbed to $115 billion in 2024. What is changing, though, is the kind of healthcare deals that PE managers are doing. The familiar price-hiking physician practice rollups of years gone by are no longer a draw. Instead, it’s a question of picking from among several key trends to back.
A new prescription for US healthcare
Under the second Trump administration, policy change and regulatory scrutiny are steering healthcare investors’ attention towards a different set of opportunities.
KPMG on the future of healthcare
Innovations in the healthcare space are ripe for private equity investment, according to Ash Shehata and Glenn Mincey of KPMG.
Eight biggest healthcare PE stories over the last 12 months
The past 12 months have seen plenty of private markets action in the healthcare sector, even as the regulatory environment gets tougher.
Advances in AI, regional shifts, regulatory scrutiny, macro headwinds and long-term developments such as digitalisation are changing the way private equity firms are sourcing deal targets and implementing value-creation initiatives in their healthcare portfolios. This special delves into these trends and what they mean for private equity investment across different healthcare verticals and geographies.
Three key trends in healthcare
Fundraising for healthcare vehicles increased markedly in 2023 as PE firms continued to back businesses across a range of verticals.
How AI is reframing PE healthcare investing
Advances in artificial intelligence, particularly generative AI, could have a transformative impact on the healthcare industry, but PE firms must be mindful to separate hype from genuine value-creation potential.
PE firms enjoy Indian healthcare boom
A growing middle class is one of several factors unlocking opportunities for innovative healthcare businesses – and PE firms are joining the gold rush.
Deloitte on how to drive value in healthcare
Private equity firms can tap into shifting industry dynamics to generate value across their healthcare portfolios, say Deloitte Consulting’s Teresa Leste and Sagar Patel.
Reflections on healthcare from PEI’s Future 40 alumni
IK Partners' Frances Houweling, Partners Group's Jean Ghabache, and Bain Capital's Paul Moskowitz share their insight on the market's developments.
Permira on integrating tech into the healthcare value chain
Tech enablement is having a transformative impact on the healthcare sector, helping to reduce costs and improve outcomes, says Permira principal Dimitrios Tzivelis.
The healthcare valuation gap
High interest rates have made the cost of capital expensive and have led buyers to view certain assets as worth less than sellers’ asking prices, writes John R Fischer.
Regulatory scrutiny over US healthcare ramps up
Private equity investment in the sector is attracting increasing attention from regulatory bodies as oversight intensifies at both federal and state levels.
EQT: European healthcare hits an inflection point
As more capital becomes available to build on Europe’s long history of healthcare innovation, the market is gearing up for the next stage of growth, say Geraldine O’Keeffe and Dr Mark Braganza at EQT.
Fundraising for healthcare is alive and well
Healthcare-focused capital raising almost doubled last year as the average fund size soared.
As private equity firms continue to hunt for assets in subsectors such as life sciences, healthtech and healthcare services, this report explores how GPs are navigating rising competition and macro headwinds. Plus, we look at the drivers behind GP-led secondaries deals involving healthcare-related assets and examine how PE is addressing healthcare inequalities.
Three key trends in PE healthcare
PE interest in healthcare is in good shape despite suffering some macroeconomic side effects.
Private equity locks in on life sciences
As the sector sustains market interest through wider volatility, GPs are sharpening their investment theses and building deeper sector and operational expertise to remain competitive.
General Atlantic: A golden age dawns for life sciences
The convergence of tech and biology is creating a compelling investment environment for the sector, say Brett Zbar and Mark Stevenson at General Atlantic.
Ropes & Gray: Innovation underpins PE healthcare deals
More creative financing and deal structures will spur healthcare investment and exit activity beyond the current focus on trophy assets and add-ons, say Ropes & Gray’s Neill Jakobe and Carolyn Vardi.
Healthcare investors wake up to inequalities
Addressing the needs of underserved groups provides an opportunity to boost returns and achieve impact.
McDermott Will & Emery on crossing borders in healthcare
Pharma services is creating cross-border opportunities, but GPs should be aware of regulatory and structural issues at play in different jurisdictions, say McDermott Will & Emery’s Kristian Werling and Ellie West.
Healthcare front of mind for secondaries buyers
Healthcare-related assets make up a significant chunk of potential dealflow in the GP-led secondaries market given the sector’s characteristics and outlook.
Vesey Street Capital Partners: Tailwinds grow in healthcare services
Buoyed by growth trends, buyouts in the lower mid-market offer significant opportunities for value creation, says Vesey Street Capital Partners’ Adam Feinstein.
CHART: Fundraising for healthcare-focused private equity is in good shape
Healthcare-focused funds gathered $14.5bn last year, with a larger average fund size helping to offset a drop in the number of vehicles closed.
Inside Mubadala’s life sciences playbook
Demographic shifts and the rising cost of care in Asia have boosted interest in the market, according to the sovereign wealth fund’s head of life sciences for direct investments in America.
The private equity industry is paying greater attention to healthcare opportunities in the wake of covid-19 lockdowns, as the sector embraces digitalisation. In this special report, we examine how the increasing pace of digital transformation in healthcare is increasing competition for assets, and what investment opportunities exist in the wellbeing and mental health sphere post-pandemic.
Digitalisation in healthcare: Top trends
The pace of digitalisation in healthcare is opening the sector to both patients and investors.
Health and tech: A compelling combination
PE firms continue to vie for assets in the increasingly digitalised healthcare market, but a selective approach is critical if they are to navigate challenges such as regulation and intense competition.
Waking up to wellbeing
Apps devoted to mental health and wellness captured the imagination of investors during the pandemic, but can the sector hold its momentum?
On the minds of the Future 40: Where next for healthcare?
Rising stars share their thoughts on the biggest trends impacting private equity activity in the healthcare sector.
Montagu on creating value in healthcare
In a high-valuation environment, healthcare investors must push value creation harder than ever, says Guillaume Jabalot, director at Montagu.
Finger on the pulse: Be aware of EU healthcare regulation
PE firms backing medical device businesses should become familiar with EU regulations that are increasing costs and time-to-market, writes Alison Dennis, Taylor Wessing’s co-head of life sciences and healthcare.
KPMG: Innovative companies seize the day
Competition in healthcare is intense, but PE firms can succeed if they understand the post-covid ecosystem, say KPMG’s Kristin Pothier and Glenn Mincey.
Legend Capital on powering China’s healthcare ecosystem
An ageing population, an upgrading industry with strong innovation capability and a wave of venture capital investment means the Chinese market is well-positioned for increased healthcare interest, says Legend Capital’s Jafar Wang.
3i on evolving GP strategies in a changing world
The pandemic has heightened demand for some healthcare sectors while exposing fragility in others, says 3i director Severin Matten.
The Vistria Group: What’s hot in healthcare
Home and community-based care, behavioural care and speciality pharma offer fresh opportunities for healthcare investors, say The Vistria Group’s co-heads of healthcare Jon Maschmeyer, Amy Christensen and David Schuppan.
No subject has been as much in the public eye over the past 18 months as healthcare. With private equity interest in the sector running at an all-time high, our A-Z of Healthcare homes in on the buyout opportunities and asks where the investor challenges lie.
Six trends in healthcare
The pandemic has brought new impetus to one of private equity’s most dynamic sectors.
Covid shines a spotlight on the importance of the healthcare sector
Whether it is the partnerships needed to develop vaccines or the remarkable strides made by telemedicine, there’s a growing appreciation that the health sector represents a dynamic source of deal opportunities.
KPMG: From covid-19 to a new norm
The global pandemic has accelerated demand for everything from diagnostics to mental healthcare. But long-term growth trends are also intact, say Glenn Mincey and Kristin Pothier of KPMG.
A-Z of Healthcare: A-E
In the first part of our A-Z, we examine ancillary healthcare, biotech, covid-19, digitisation and eldercare.
Capvis: Creating value in the care sector
Despite some headwinds following the pandemic, Boris Zoller, managing partner at Capvis, sees plenty of growth potential in elderly care across Europe.
A-Z of Healthcare: F-K
The second part of our A-Z looks at financing, growth, healthtech, infectious diseases, joint ownership and KOLs.
Permira: The healthtech revolution
From wearable devices and telemedicine to gene therapy and clinical trials, technology is transforming every aspect of healthcare, says Silvia Oteri, partner and head of healthcare at Permira.
A-Z of Healthcare: L-P
The third part of our A-Z looks at logistics, mental health, nursing homes, outcomes and pharmaceuticals.
Nordic Capital: Pharmaceuticals – where home advantage counts
Covid has highlighted the importance of growing national and regional pharmaceutical champions, says partner and head of healthcare at Nordic Capital Dr Raj Shah.
A-Z of Healthcare: Q-U
The fourth part of our A-Z looks at quality of care, R&D, scalability, tie-ups and universal healthcare.
CVC: Partnerships become the new norm
Covid has shown a new way of working in healthcare, and there are lessons for private equity, say CVC’s Cathrin Petty and Phil Robinson.
A-Z of Healthcare: V-Z
In the final part of our A-Z we look at visualisation, wellbeing, X-rays and diagnostics, youth services and Zoom healthcare.
3i: Virtual models are transforming healthcare
The adoption of virtualisation has been gathering pace for some time, but covid has helped the industry reach an inflexion point, says Rowena Gracey, director at 3i.
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