HealthLeaders Media July 22, 2024
Private equity investment in the industry is receding, not increasing.
KEY TAKEAWAYS
– According to data trends, the scope of private equity’s presence in healthcare is not as large as the discussion around it, a study by PitchBook states.
– Private equity-backed providers represent just 3.3% of the US healthcare provider ecosystem by revenue, while year-over-year growth of private equity investment in providers fell below 1% in the first quarter of this year.
– As long as there are cases of private equity-backed companies in healthcare entering bankruptcy, however, there will be emphasis on regulating their actions.
As private equity’s involvement in healthcare continues to draw scrutiny for its potential negative consequences, it’s fair to ask just how prevalent PE...