CEO Pulse: Market Trends and Insights
Vol 1, Issue 18
Healthcare PE Inflection Points: What to Do Before the Reaccelerating
Dear DSO and OSO Executives,
After a cautious 2025, the ingredients for a deal surge are lining up—stabilizing rates, narrowing bid–ask spreads, and record dry powder. The question for operators and investors isn’t if momentum returns, but whether you’ll be ready when it does. Our new booklet, Healthcare PE Inflection Points: Eight Critical Shifts Every Investor and Operator Must Master Before the Market Reignites, lays out a practical playbook for the next 12–18 months.
Inside the booklet (CEO highlights):
- M&A ≠ automatic alpha: Why synergy math fails without provider engagement—and how to fix it with incentives, integration SWAT teams, and engagement KPIs.
- Valuations in flux: Creative structures (earn-outs, rollovers) to bridge spreads—without overpaying on day one.
- Capital overhang: Turning dry powder into disciplined deployment with tuck-ins, growth equity, and readiness to strike.
- Tech modernization: Cloud + AI as margin engines—start with data plumbing, 90-day quick-win sprints, and compliance-by-design.
- AI: hype vs. reality: Early lifts are often <3%; here’s how to break “pilotitis” and scale what works.
- Private credit’s rise: Faster closes and flexible terms—plus the leverage discipline they demand.
- People & culture: The strongest predictor of EBITDA improvement—and the most underfunded diligence stream.
