Despite COVID-19 and various lockdowns, M&A activity across health and social care sectors continued to show resilience.
Clearly viewed as an attractive investment category by private equity and other investors, 2020 again showed that good quality businesses remain attractive to an increasingly wide pool of active buy and build consolidators.
John Lucas, Corporate Finance Partner, commented: “Although April and May saw a drop off of activity during the first lockdown, the remainder of 2020 was incredibly busy and continues to be so as we head into 2021. Overall, we advised on nearly 50 successful healthcare transactions in 2020.
All areas of health and social care are transacting at pre-COVID-19 levels, even though some sectors, such as elderly residential and nursing homes, have been hit fairly hard in certain regions. We expect to see further consolidation in specialist care, children’s services and domiciliary care as providers look at their options following what has been an extremely challenging twelve months for them.”
Richard Dade, Partner, added “the Health and Social Care sector has really demonstrated its resilience in the face of so many challenges presented by COVID-19. It has been testament to this strength that there has been such confidence amongst investors during the last 12 months.
“It was really pleasing to act on some of the most significant transactions in the sector in the last 12 months, including the acquisition of Heathcotes Group by Civitas Investment Management and Envivo Group. We are very much looking forward to supporting our clients to achieve their goals in 2021.“
For more information or to discuss a potential transaction in the health and care sector, please contact John Lucas at firstname.lastname@example.org or Richard Dade at email@example.com or call 01242 680000.