I imagine most people are familiar with the phrase “what goes up must come down”, however, this seems very unlikely to apply to healthcare transaction values as both deal values and volumes rise. In 2018, 186 healthcare companies went public, bringing aggregate gross IPO proceeds for the year to $24 billion, a whole $9 billion more than in 2017. With healthcare investment continuing to rise, 2019 seems like a good time to sell despite Brexit or US/China trade uncertainty.
We are working with a technology business which integrates disparate systems for some great healthcare providers; unsurprisingly interest is very strong from investors and trade both in the UK and from overseas.
73% expect their M&A deals to get bigger over the next three years, up from 55% last year. Only 15% of respondents expected dollar value to stay the same, down from 34% in 2017, suggesting they think big-ticket mergers will continue.