Mergers and acquisitions in healthcare have been occurring at a steady clip in recent years, and given several industry and demographic trends, that seems poised to continue, as organizations seek to consolidate to achieve scale and operational efficiencies. It remains an active space in part because purchase price multiples — a measure of how costly a company or deal is to acquire — continue to be very attractive to sellers, and there continues to be an environment if low interest rates and a wealth of available investment dollars. Part of the allure of pursuing a merger or acquisition is the ability to scale services, as well as acquire more leverage from a purchasing standpoint, and M&A activity will likely have its intended effect in those areas. Where the picture becomes a little more uncertain is in the realm of cross-sector deals, such as the CVS/Aetna merger.
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Source: https://www.healthcarefinancenews.com/news/healthcare-mergers-and-acquisitions-continue-be-active-positive-outlook-future