In a post-pandemic environment, growth and expansion is on the minds of executives across the globe, including healthcare field.  

Healthcare merger and acquisition (M&A) activity has regained its force and point of interest, ending 2022 with 53 announced transactions and more than $45 billion in total revenue, as reported by Kaufman Hall. “A noteworthy element of many of this year’s cross-market mergers is that the systems have a common focus (e.g., rural health), complementary skillsets (academic medicine and community health), or a shared desire to improve health outcomes.”


Kaufman Hall highlights that the percentage of financially distressed sellers remained steady at 15 percent in 2022 versus 16 percent in 2020 and 2021. This is in the face of the financial difficulties hospitals and health systems faced in 2022. Financial pressures are sure to continue in 2023. In his interview by American Hospital Association™ (AHA), Brian Gragnolati, the CEO and President of Atlantic Health System (AHS), a New Jersey based hospital system organization, pointed out the benefits of the consolidation with regards to the community access to healthcare and improved quality. He also noted that in the midst of the current changes in the healthcare industry, “if you are a freestanding organization today that’s  working hard to keep its doors open each and every day and then you’re faced with this transition, you can’t do it alone.”


Mergers and Acquisitions (M&A) process offers a multitude of opportunities, but it also brings risks to those on the receiving end of a takeover.  At AJHC Financial Partners, we have a team of experts to assist your current M&A team by  reviewing many aspects of the financial, operational efficiencies and compliance to ensure the accurate picture of the situation and providing a valuable feedback and recommendations.