Hospital transaction volume plummeted nearly 70 percent during the second quarter of 2014, according to a PwC report.
The number of reported and closed hospital transactions in the second quarter dropped from 22 in 2013 to seven in 2014, according to the report. Volume is also down by about 43 percent compared with the first quarter of this year, which saw a total of 12 transactions. Second-quarter 2013 hospital deals didn't have a disclosed value because most of the transactions involved nonprofit organizations.
Despite the notable dip in volume, the report states "there are many active discussions across the U.S.
regarding consolidations/mergers among hospitals and health systems, which are not reflected in the figures based on the stage of the potential deal. Activity in this sector will continue for the foreseeable future as consolidation continues in all aspects of the hospital space regardless of the for-profit or not-for profit status of a facility or system."