Decade in Review: Hospital M&A Continues Recent Rebound
|FOR IMMEDIATE RELEASE||
Sanford B. Steever, Editor
Steve Monroe, Editor
NORWALK, CT – February 3, 2011 – Forty-eight hospital mergers and acquisitions transactions were announced during just the second half of 2010, which represents 62% of the 77 deals announced in the full year. There were 9 first quarter deals, 20 second quarter deals, 24 third quarter deals and 24 fourth quarter deals. 2010’s 77 deals marked a 33% increase in number of hospital M&A deals from last year’s 52. Not since 2001, when 82 deals were reported, have there been this many hospital transactions in a single year. In 2010 $12.6 billion was committed to hospital M&A in, an 86% increase from the $1.8 billion committed to the sector in 2009. Additionally 2010 allowed for the second most dollars committed in the hospital sector in ten years, behind 2006’s $35.5 billion grand total.
Community Health Systems’ proposed takeover of Tenet Healthcare Corp. for $7.3 billion signals a willingness of companies to put to use the large amounts of capital they’ve been sitting on since the recent and ongoing financial crisis. This indicates a recovery in M&A activity since the generational low in March 2009.
For more information on DealSearchOnline.com or for a subscription to any Irving Levin publication, call 800-248-1668 or go to www.levinassociates.com. Irving Levin Associates, Inc. was established in 1948 and is based in Norwalk, CT. This privately held corporation publishes research reports and newsletters, and maintains health care and seniors housing M&A databases.
Click here for more information on any of our publications.