Behavioral Health Business March 20, 2024
Federal agencies may be cracking down on private equity investment in health care, which could have implications for behavioral health dealmaking in the future.
In early March, the Federal Trade Commission, the Department of Justice’s (DOJ) Antitrust Division, and the U.S. Department of Health and Human Services launched a new investigation into private equity and other corporate investment control in the healthcare industry. Specifically, the agencies are investigating how health care consolidation impacts the quality of care, safety and affordability.
While the investigation may not have any real-world impacts, but the headline risk could cool the M&A temperature, according to industry insiders. And behavioral health, which has been an investor darling for the past few years, could potentially see some...