Many hospital leaders are getting the M&A sequence wrong, and executives who have sat on both sides of the deal table say the consequences are predictable: costly integrations, misaligned cultures and acquisitions that strain balance sheets without a clear path to value. A group of healthcare leaders recently discussed where health system deal-making often goes off the rails, and what organizations should do instead. That discipline is becoming increasingly critical as hospitals and health systems pursue partnerships under mounting financial pressure. For many organizations, the question is no longer whether consolidation can create scale, but whether the deal is tied to a clearly defined operational, clinical or strategic need from the outset.
Read the full article: ‘Don’t Pursue a Transaction, Pursue a Solution’: Where Health System M&A Goes Wrong //
Source: https://www.beckershospitalreview.com/hospital-transactions-and-valuation/dont-pursue-a-transaction-pursue-a-solution-where-health-system-ma-goes-wrong/