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Q4 2022: Most Active Healthcare M&A Quarter Since the Beginning of the Pandemic

Commentary by: Eric Murphy, Managing Director, Global Healthcare Services


Kauffman Hall reported in its 2022 M&A in Review report that the fourth quarter of 2022 was the most active healthcare mergers and acquisitions quarter transformative transactions since the beginning of the pandemic. A total of 17 transactions were announced in the fourth quarter, with four transactions occurring where the smaller party of the transaction has annual revenues of $1 billion+. The average smaller party size of announced transactions reached an all-time high of $852 million, well above the previous record of $619 million in 2021.


2022 Recap


In total for 2022, there were 53 announced transactions, up from 49 in 2022. Total transacted revenue topped $45 billion for 2022, up from $32 billion in 2021. Total transacted revenue hasn’t exceeded $40 billion since 2017. The trend continued in 2022 where less transactions were announced, but the size of the transactions are well-above averages seen in years 2020 and prior. The smaller size party annual revenue has grown annually by 12% over the past 10 years.



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Source: Kaufman, Hall & Associates, LLC



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