Here’s Why Hospital Deals Are Heating Up

Hospital acquisitions are expected to increase in the year’s second half, fueled by improving finances at many large health systems. While not all hospitals and health systems are experiencing the same increase in admissions, the recent financial metrics for several large systems bode well for the broader hospital industry, merger and acquisition advisers said. Those systems are expected to use the extra cash to fund deals. “In the second half of the year, we are seeing increased profitability for more of the larger health systems,” said Ashraf Shehata, a partner at accounting firm KPMG. “That will likely move deal activity up.”

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Source: https://www.modernhealthcare.com/mergers-acquisitions/ascension-steward-health-chs-hospital-ma-2024

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