Mergers & Acquisitions

The healthcare industry sees a lot of consolidation between both vendors and healthcare providers this channel tracks mergers and acquisitions between large healthcare systems, community hospitals, private practices, vendors and private equity investors. Health systems have been growing in size substantially in the past decade with mergers with smaller healthcare systems and hospitals. This is largely due to the need to be more efficient amid lower reimbursements and rising costs by building an economy of scale in a larger health system. On the vendor side, mergers have become a common way to reduce research and development costs by purchasing intellectual rights for new technologies, or to purchased companies with new technologies that already have regulatory market clearance. 

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Imaging among the categories seeing greatest 2-year decline in private equity deals

The Pitchbook analysis also charted similar PE ownership downturns in other healthcare categories such as skilled nursing and hospitals.  

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Humana buys stake in Healthpilot to expand Medicare Advantage portfolio

Healthpilot will remain an independent, payer-agnostic company despite Humana’s minority stake.

Agito Medical

Private equity firm acquires medical imaging equipment supplier from Philips

Agito Medical was first founded in 2004 and acquired by the Amsterdam-based original equipment manufacturer in 2018. 

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Lantheus acquires developer of next-generation PET imaging agent for Alzheimer’s

Meilleur Technologies’ portfolio includes the worldwide exclusive rights to NAV-4694, also known as F18-flutafuranol, which is in phase 3 trials. 

Innovalve Bio Medical's Innostay TMVR device. Edwards Lifesciences has agreed to acquire Innovalve after an initial investment in 2017.

Edwards Lifesciences to acquire medical device startup behind new TMVR technology

Edwards, an early investor when the company first launched in 2017, said the acquisition will ensure its TMVR platform reaches as many patients as possible. 

Eli Lilly

Eli Lilly purchases Morphic and its Crohn's drug portfolio for $3.2B

Morphic's new treatment for inflammatory bowel disease is in Phase II clinical trials and shows promise in improving patient outcomes. Eli Lilly will purchase the company for $57 per share in cash.

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Miami-based IntelliRad Imaging and its 37 physicians join Strategic Radiology

“Our newest member is a young, vibrant and innovative practice committed to the wholly physician-owned independent practice model,” said SR CEO Scott Bundy, MD. 

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Market for transcatheter heart valve replacement could top $19B in 10 years

As one may expect, advances in TAVR and TMVR technologies are seen as key drivers of the market’s success.