2016 will see continued activity in the healthcare mergers and acquisitions landscape, according to The National Law Review.
Here are five predicted healthcare M&A trends.
1. Hospitals will expand and consolidate as a response to payer's bargaining power through insurance deals. For the same reason as hospitals, physician groups will also continue aligning.
2. The Federal Trade Commission won't hesitate to speak up against mergers as healthcare M&A continues to gain steam.
3. The FTC isn't convinced about the looming Advocate/NorthShore merger, citing concerns about the total market share the combined organizations would control.
4. The FTC will also keep tabs on merging physician groups, calling out anything considered anti-competitive.
5. Private equity firms won't shy away from healthcare investments in 2016. Dermatology, radiology and anesthesia lines will especially see activity.