Hospitals experienced a severe drop in M&A activity during the first quarter of 2025. There were only five transactions during the quarter — and zero mega-mergers (deals where the smaller party’s revenue is $1 billion or more). Compare this to the first quarters of 2024 and 2023, which had 20 and 15 M&A deals, respectively. The slump in hospitals’ M&A activity is due to factors largely outside of their control: the Trump administration’s flurry of new policies and the resulting widespread economic uncertainty. Hospitals are putting off strategic decisions amid the ambiguity — but experts say ongoing financial distress, driven by rising costs and stagnant reimbursement, may ultimately spur more M&A deals as a survival tactic.
Read the full article: Hospitals Are Freezing M&A Deals as Federal Policies Rattle Industry //
Source: https://medcitynews.com/2025/04/hospitals-white-house-trump/