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All indications appear to point toward a robust market for health care mergers and acquisitions (M&A) in the coming year. Inflation finally appears to be easing. With that, we may continue to see interest rate cuts from the Federal Reserve.
A privateequity (PE) firm’s primary objective is to generate returns on its investments. When a PE firm acquires a portfolio company (PortCo), one way the PE firm increases its returns is by making employment-related changes—sometimes significant ones—at the PortCo level.
USAP”) and its privateequity sponsor, Welsh, Carson, Anderson & Stowe (“Welsh Carson”) alleging an anticompetitive scheme to consolidate anesthesiology practices in Texas through a series of systematic roll-ups; price setting arrangements; and a market allocation agreement to dominate the anesthesia market in Texas.
Federal Trade Commission (“FTC”) antitrust lawsuit against a private-equity owner of a large anesthesiology practice in Texas demonstrates that the FTC has begun to implement its more aggressive focus on the perceived competitive harms caused by certain “roll-up” acquisition strategies.
Technology continued to be an industry of particular focus for privateequity (PE) through 2024. Blackstones $16 billion acquisition of data center platform Airtrunk was the largest deal of Q3 2024, according to Ernst & Young data, and tech deals accounted for 40% of all privateequity deployment by value in the third quarter.
Jersey and Guernsey (collectively, the "Channel Islands") remain popular for both privateequity buyout structures of UK and international corporate groups across various industries and asset classes, and for leverage structures to maximise existing investments and facilitate general corporate borrowing.
Traditionally, privateequity firms were seen as benign investors from an antitrust perspective. In the past 12 months, PE-funded acquisitions have faced progressively more rigorous scrutiny by antitrust authorities. This is changing. By: Allen & Overy LLP
What do privateequity and growth capital investors look for when adding new companies to their portfolio, and what strategies do they apply to help those companies optimize capital? They covered the current privateequity landscape, strategies for creating value, industry trends, various investment structures, and more.
In recent years, the landscape of mergers and acquisitions (M&A) financing in privateequity (PE) has experienced significant changes. Rising costs of debt and fluctuating availability have compelled PE firms to reassess their financing strategies. By: Bennett Jones LLP
The company's spyware, dubbed Graphite, is capable of hacking phones and stealing private communications. 2024 TechCrunch. All rights reserved. For personal use only.
A recent wave of state legislation is changing the course of healthcare transactions, and organizations (particularly privateequity-backed organizations) that engage in mergers and acquisitions in the healthcare industry should prepare for increased scrutiny. By: BakerHostetler
Privateequity is squarely in the cross hairs of regulators; the Department of Justice Antitrust Division, the Federal Trade Commission, and the U.S. Department of Health and Human Services recently announced the launch of a joint inquiry into privateequity ownership in the health care field. By: Ballard Spahr LLP
The US Small Business Administration (SBA) recently issued a proposed rule impacting the ability of small business government contractors to continue performance of set-aside awards following a merger or acquisition. By: McDermott Will & Emery
Accounting firm mergers and acquisitions (“M&A”) are blossoming due to strong recurring revenue models, a great record of organic growth over three decades, light asset investment requirements, and economic recoveries and growth worldwide following the pandemic. These factors have created the opportunity for industry consolidation.
Website builder Squarespace is no longer a publicly traded company, after privateequity firm Permira procured all remaining common stock in the firm. Permira first revealed plans to acquire Squarespace back in May, offering shareholders in the NYSE-traded company $44 per share — this equated to an equity valuation of $6.6
Privateequityacquisitions in healthcare will likely face increased scrutiny from multiple federal departments, as well as from state antitrust enforcement officials. By: Mayer Brown
On March 5, the FTC convened a workshop with regulators, academics and stakeholders to discuss the impact of privateequity in the healthcare market. The workshop reflects the FTC and DOJ Antitrust Division’s recent focus on privateequity and serial roll-up transactions more broadly as targets for antitrust enforcement.
WindRose Health Investors has announced its acquisition of CardioOne. CardioOne, founded in 2023 and based in Houston, is a management services partner and technology platform designed for independent cardiology practices. By: McGuireWoods LLP
On January 14, 2025, the Department of Justice (DOJ) sued privateequity giant KKR & Co. KKR) for numerous violations of antitrust law, alleging that KKR repeatedly violated its obligations to provide information on its acquisitions as required by the Hart-Scott-Rodino Antitrust Improvements Act of 1976 (HSR Act).
On March 6, 2025, the Federal Trade Commission (FTC) filed a lawsuit in federal court challenging GTCR BC Holdings, LLC's (GTCR) proposed acquisition of Surmodics, Inc. Surmodics).
A recently introduced California Assembly Bill (AB 3129), targeting privateequity (PE) physician practice investments, is currently making its way through the legislative process. By: Troutman Pepper
Earlier this month, the CLS Blue Sky Blog ran a post from Paul Weiss discussing ways the DOJ and FTC’s proposed merger guidelines will impact private-equity-sponsored acquisitions.
The UK Takeover Panel (the Panel) has published a new framework for private sale processes. If you are a privateequity investor considering potential P2P acquisitions after receiving initial soundings from management teams, then this new regime should be helpful in enabling early stage talks to happen in private.
3129 (AB 3129), which would have required privateequity groups and hedge funds to obtain the Attorney General’s written consent at least 90 days prior to acquisitions or changes of control of certain health care facilities, provider groups, and other providers. On September 28, 2024, Governor Newsom vetoed Assembly Bill No.
With extensive experience across privateequity, business turnarounds, and a creative approach to consulting for equity, Jamie has demonstrated a unique ability to transform underperforming companies into successful ventures. Now, I'm in the mergers and acquisitions world." "You
The California legislature is considering a bill that could severely impact the ability for privateequity companies and hedge funds to operate in the California health care industry. By: Polsinelli
As this fall’s election approaches, headwinds have been brewing in DC and state legislatures for privateequity health care dealmaking, many of them with bipartisan support.
At the end of September, the Federal Trade Commission sued a privateequity firm, Welsh, Carson, Anderson & Stowe, and U.S. Anesthesia Partners, Inc. USAP), an anesthesia service provider in Texas, alleging that USAP and Welsh Carson drove up prices through an anticompetitive scheme to consolidate Texas anesthesiology practices.
During the past 12 years, privateequity (PE) firms have served as major investors in the U.S. health care market, participating in acquisitions and consolidations of physician practices across various specialties.
The CTA reporting obligations also impact due diligence for mergers and acquisitions (M&A) and in-house formation of new entities. The Corporate Transparency Act (CTA) introduces beneficial ownership reporting requirements effective January 1, 2024, for new and existing companies.
The Federal Trade Commission (FTC), under the leadership of Chairperson Lina Khan, has for the past several years signaled its intent to ramp up enforcement of the antitrust laws in the health care and privateequity spaces. Last week, the FTC gave teeth to these policy proclamations and sued both U.S. Anesthesia Partners, Inc.
In 2023, privateequity, mergers and acquisitions and venture capital financings have experienced a slowdown across Canada, on the heels of a historically strong year in 2022.
Regarding mergers and acquisitions (M&A), privateequity continues to show robust interest in acquiring lower middle market (LMM) companies. While large M&A transaction volume fell in the first half of 2024, the allure of LMM acquisitions remains high.
in which he rejected plaintiffs claims of breach of fiduciary duty in connection with the sale of Authentix Acquisition Company, Inc. Authentix or the Company) to privateequity firm Blue Water Energy LLP (BWE) in September 2017. The Carlyle Group Inc., By: Vinson & Elkins LLP
California Attorney General (AG) Rob Bonta and Assembly Speaker Pro Tempore Jim Wood have introduced new legislation addressing privateequity health care deals. 3129, would grant the AG oversight over privateequity and hedge fund acquisitions of health care facilities. The bill, A.B. By: Troutman Pepper
Zuora, a company selling software to help businesses manage their subscription-based services, has agreed to be acquired by privateequity firms GIC and Silver Lake for $1.7 It’ll take Zuora, which is currently publicly traded, private.
Mergers and acquisitions (M&A) have been common in the U.S. Within the subset of M&A that are acquisitions, buyers are bifurcated into two primary categories defined by the motivation for the acquisition: financial versus strategic.
In the pursuit of attractive equity returns, privateequity firms have developed numerous innovative strategies beyond typical leveraged buyouts and take-private transactions. As it happens, this is an industry that has experienced a significant amount of privateequity-backed roll-up activity.
Since mid-2022, the macro acquisition environment has faced the challenges of inflation and increasing interest rates, among a variety of other headwinds. Expect privateequity backed healthcare investing to remain active (relative to the field). Global deal flow is down from its 2021 peak. By: McGuireWoods LLP
WindRose Health Investors has announced the acquisition of CardioOne. CardioOne, founded in 2022 and based in Houston, is a physician enablement company that serves independent cardiologists. By: McGuireWoods LLP
9 (“Indiana Law”) into law, mandating that Indiana healthcare entities and privateequity firms notify the Office of the Indiana Attorney General of qualifying transactions at least 90 days before closing. On March 13, 2024, Indiana Governor Eric Holcomb enacted Senate Enrolled Act No. By: Benesch
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