Insights

A Look at Recent Transactions Shaping the Future of Healthcare

This week's article provides a summary of recent healthcare M&A news for August 20, 2024. 

The healthcare industry is rapidly evolving, with the lines between the healthcare technology and services sectors blurring - creating the catalyst for innovation, transformation, and continued market activity. TripleTree's Healthcare M&A Weekly summarizes recent mergers, acquisitions, and investments shaping the future of healthcare.

To view previous healthcare M&A activity, please review last week's post: Healthcare M&A Weekly - August 12, 2024.

• The Allstate Corporation (NYSE: ALL) announced a definitive agreement to sell its Employer Voluntary Benefits business to StanCorp Financial Group, for $2.0B. The sale represents the first step in the strategic decision to enable the three Allstate Health & Benefits businesses – Employer Voluntary Benefits, Individual, and Group Health – to realize their full growth potential by combining them with companies that have additional capabilities. View the press release here.
• Audax Private Equity announced the acquisition of Avantor’s clinical services business for ~$650M. Avantor is a global provider of misson-critical products and services to customers in the life sciences and advanced technologies industries. Read more about the acquisition here.
• Baxter (NYSE: BAX) announced a definitive agreement to divest its Vantive Kidney Care Segment to Carlyle, a global private equity firm, for $3.8B. Vantive is a global kidney care provider, offering products and services for peritoneal dialysis, hemodialysis, and organ support therapies. Learn more about the transaction here.
• Crown Laboratories, a global player in the skincare industry, and Revance (NASDAQ: RVNC), a biotech company that provides aesthetic and therapeutic offerings announced their entry into a merger agreement. Upon completion of the transaction, Crown Laboratories expects to be one of the leading global aesthetics and skincare companies, with a portfolio of 10+ skin health and aesthetic brands, and one of the largest distribution footprints in skincare across medical, retail, and e-commerce channels. Crown will commence a tender offer to acquire all outstanding shares of Revance's common stock for $6.66 per share in cash, representing a total enterprise value of $924M. Read more about the merger here.
• Francisco Partners has agreed to sell portfolio company, QGenda, to Hearst, one of the nation’s largest global, diversified information, services, and media companies in a deal valued at between $2B and $3B. QGenda provides healthcare workforce management solutions, supporting over 700,000 physicians and other healthcare providers across more than 45 different specialties. View the announcement here.
• Knack Global, a provider of tech-enabled, end-to-end revenue cycle management solutions, has announced its acquisition of Merrick Management, a provider of revenue cycle management, practice management, financial, and accounting services to anesthesia providers across the Southeast and Midwest. Click here for more on the acquisition.
• The LTM Group, a provider of home health, personal care, hospice, and rehabilitation services in Indiana, Ohio, Michigan, and Texas, announced the acquisition of Wichita Home Health Services, a Texas-based provider of home care. Read more about the acquisition here.
• MTM, the nation’s largest privately held non-emergency medical transportation (NEMT) broker, announced the acquisition of Access2Care's NEMT Business. Access2Care is the third-largest NEMT broker in the industry and has grown to manage over 8.6M trip requests for over 5.5M covered lives across urban, suburban, rural, and remote rural regions in 29 states and the District of Columbia. Learn more about the acquisition here.
• Neuronetics (NASDAQ: STIM), a provider of non-drug, noninvasive treatment for people suffering from neurohealth conditions, and Greenbrook TMS, an operator of 130 mental health treatment centers in the U.S., announced a definitive merger agreement. Neuronetics will acquire all of the outstanding common shares of Greenbrook in an all-stock transaction. The transaction brings together two players in the mental health space in the U.S., which will allow the combined company to provide access to innovative care to patients suffering from mental health conditions. Read more about the merger here.
• Petauri, a pharmaceutical services platform, has announced the acquisition of Bluprint Oncology, Cogency, Verascity, and Blendworks, from the Brightly Network. The combined businesses comprise a comprehensive suite of medical communications agencies that specialize in oncology, hematology, and rare diseases across medical and commercial strategy, engagement, and education. Click here for more on the acquisition.
• Rural Healthcare Group, a portfolio company of Kinderhook Industries, announced the acquisition of Steward Medical Group and Steward Health Care Network, one of the largest primary care provider organizations in the country, with a significant presence in Massachusetts and nine other states. Read more about the acquisition here.
• Stryker (NYSE: SYK), a global leader in medical technologies, announced a definitive agreement to acquire care.ai, a company specializing in delivering AI-assisted virtual care workflows, smart room technology, and ambient intelligence solutions. View the announcement here.
• ToxStrategies, a multidisciplinary scientific consulting firm and portfolio company of Renovus Capital Partners, announced the acquisition of Suttons Creek. Suttons Creek provides consulting and execution services for combination product development including quality, regulatory, human factors and usability engineering, strategy consulting, training and education, and corporate readiness and executive advising. Read more about the acquisition here.
• The University of Pennsylvania Health System has announced a definitive agreement to acquire Doylestown Health. Doylestown Health is a Bucks County, PA-based not-for-profit health system. Doylestown Health will become part of Penn Medicine, strengthening the two organizations’ shared commitment to delivering the most advanced, convenient and compassionate care to patients and families across the greater Philadelphia region. Learn more about the acquisition here.

Transactions outlined in this summary highlight some of the key trends shaping the future of healthcare. Get the latest industry news from TripleTree every week.

This is a partial list of transaction activity across the healthcare industry and is not intended to be a complete listing. Transaction information was identified from various sources and TripleTree may or may not have acted as the financial advisor for the transactions listed. All product names, logos and brands are property of their respective owners. All company, product and service names used in this communication are for identification purposes only. Use of these names, logos and brands does not imply endorsement.