Despite lingering regulatory uncertainty, the US Health Services industry witnessed over 200 deals for the fifteenth quarter in a row. Growth trends were mixed, with total deal volume decreasing over the prior quarter, but increasing over prior year. Total deal value declined by double-digits versus Q1 2018 and Q2 2017, but both past periods had seen exceptional megadeal activity.
For the fifteenth quarter in a row, M&A volume exceeded 200 deals. The total deal volume of 255 matched the average volume seen in the preceding seven quarters. Deal volume declined by 7.3% over prior quarter but increased by 9.4% over prior year.
Versus prior quarter and prior year – periods of exceptional megadeal activity – total deal value declined by 66.1% and 50.7%, respectively. For comparison, in Q2 2018, one megadeal (see below for details) accounted for approximately 40% of the quarter’s total deal value; in Q1 2018, one megadeal accounted for 92%, and in Q2 2017, four megadeals accounted for 56%.