90% of health execs expect same or more M&A in next year

Most healthcare executives do not expect mergers and acquisitions activity in the healthcare space to slow down within the next 12 months, according to a recent survey by Capital One.

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The banking firm completed a survey of 123 CEOs, CFOs and other senior-level executives at healthcare companies and private investment firms in September, according to HealthExec.

Here are four survey findings:

1. Almost three-quarters (72 percent) of survey respondents said they expect their healthcare business to perform better during the next year than the past year, compared to 28 percent of executives who do not believe their companies will perform better.

2. The majority (90 percent) of executives said they predict increased or the same level of M&A deal activity in the healthcare space within the next 12 months.

3. Roughly half of respondents (46 percent) said they predict health IT will maintain the highest growth rate of all markets in the healthcare space within the next 12 months, followed by home health and hospice (31 percent), assisted living and skilled nursing (8 percent), insurance providers (8 percent), pharmaceuticals (6 percent) and medical devices (3 percent).

4. Roughly 6 in 10 (62 percent) of healthcare executives said they are “just beginning” the transition to value-based care. Only 2 percent of executives said they had fully transitioned.

To access an infographic of the survey, click here.

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