Health Matters
June 14, 2018

Examining the Potential Impact of New ACS Screening Guidelines on Gastroenterologists

MHT Partners  | Healthcare Investment Bank

On Wednesday, May 30, 2018, the American Cancer Society (“ACS”) announced a major change to the recommended age for beginning colorectal cancer screening. Previously, the organization recommended that those at average risk of colorectal cancer begin regular screening at age 50. However, prompted by a 2017 study led by ACS researchers and published in the Journal of the National Cancer Institute, which found that new cases of colon cancer and rectal cancer are occurring at an increasing rate among young and middle-aged adults, the ACS is providing guidance to lower the recommended age for beginning screening to 45.

May 17, 2018

Lifesaving Therapies and Eye-catching Returns in the CRO Market

MHT Partners  | Healthcare Investment Bank

On average, pharmaceutical companies spend $2.6 billion over the course of 10 years to develop a single new drug. That equates to over $115 billion invested in the 46 novel drugs approved by the FDA in 2017—not to mention the 90%+ of therapeutics that never advance further than clinical trials.

With such astronomic costs looming over the industry, it’s no surprise that pharma companies are doing whatever they can to make R&D processes as efficient as possible. The need to cut costs and optimize development has given birth to a number of ancillary industries, from specialized PR firms to outsourced drug manufacturers (“CMOs”). The value proposition is simple: provide the time and labor-intensive services necessary to take drugs across the finish line at a lower cost, while allowing pharmaceutical companies to focus on what they do best: developing lifesaving therapies.

April 19, 2018

Why Private Equity is Turning Its Attention to Gastroenterology

MHT Partners  | Healthcare Investment Bank

M&A activity between physician practices and private equity investors has evolved meaningfully over the last several years. Coming out of the Great Recession, investors pursued consolidation, administrative optimization, and networking improvements in specialties such as dentistry, dermatology, physical therapy, and anesthesiology. Today, having written the playbook for successful partnerships with physician practices, investors have begun identifying the next wave of attractive specialties in healthcare services to implement proven investment strategies.

April 5, 2018

The Benefits and Increasing Prevalence of Ambulatory Surgery Centers

MHT Partners  | Healthcare Investment Bank

The first Ambulatory Surgery Center (“ASC”) was established in the 1970s by two Phoenix, AZ-based physicians seeking to “provide timely, convenient, and comfortable surgical services” to patients.1 Today, as the healthcare industry collectively seeks to drive down costs, improve patient health outcomes and overall satisfaction, ASCs have become an increasingly common option for both outpatient and higher acuity surgical procedures.

March 22, 2018

Key Takeaways from the McDermott Will & Emery 12th Annual Health Care Services Private Equity Symposium . . . a Continuation

MHT Partners  | Healthcare Investment Bank

MHT Partners’ Healthcare Services practice leadership team’s key takeaways from the McDermott Will & Emery’s 12th Annual Health Care Services Private Equity Symposium:

Core Trends . . . a continuation

Demographic Tailwinds/an Aging, Ailing Population: Where dollars go, investors follow, and the healthcare industry is no exception.

March 21, 2018

Key Takeaways from the McDermott Will & Emery 12th Annual Health Care Services Private Equity Symposium

MHT Partners  | Healthcare Investment Bank

This month, McDermott Will & Emery, a leading provider of legal services, hosted its 12th annual Health Care Services Private Equity Symposium.  Over the years, this conference has grown into a must-attend event for dealmakers and executives interested in healthcare services transactions.

MHT Partners’ Healthcare Services practice leadership team was in attendance, along with a vast majority of healthcare-focused private equity sponsors and other key players to discuss the state of the U.S. healthcare industry, drivers of and trends in recent M&A activity, and strategies for investing in and building great healthcare businesses. As a leading healthcare services investment bank, below are a few of our key takeaways from the conference:

March 8, 2018

Healthcare IT Industry Spotlight Interview, Part 3: Casey West, Managing Director at SSM Partners

MHT Partners  | Healthcare Investment Bank

A continuation from last week’s blog and final installment of the Casey West interview . . .

You’ve made investments in companies such as Apixio and RemitData that offer solutions based on vast amounts of healthcare data. What opportunities do you see in healthcare data science and how do you evaluate risks and regulations when considering healthcare data investments?

March 1, 2018

Healthcare IT Industry Spotlight Interview, Part 2: Casey West, Managing Director at SSM Partners

MHT Partners  | Healthcare Investment Bank

A continuation from last week’s “Health Matters” blog . . . an interview with Casey West at SSM Partners

The healthcare industry is also notoriously entrenched and slow moving. What characteristics convince you that an investment has what it takes to disrupt incumbents and embedded practices, or carve out new markets, in its respective corner of the industry to achieve a “hard ROI?”

February 22, 2018

Healthcare IT Industry Spotlight Interview, Part 1: Casey West, Managing Director, SSM Partners

MHT Partners  | Healthcare Investment Bank

Tell us a little bit about SSM Partners (a Memphis-based private equity firm focused on Software & Technology, Internet & Consumer, and Healthcare). What attracted you to the firm?

I joined in 2004, shortly after business school. It was a dream of mine to do this type of investing in the Southeast, and that’s what SSM let me do. SSM has been a great small firm for many years and a leader in this part of the country, and I am very happy to be a part of that. We have a culture that distinguishes us. Our founder imparted a service orientation many years ago, and that fits really well with the way that I view the world and the way that I think about business. Getting to brass tacks, though, we’re a growth equity firm that invests in technology companies all over the country, so while we are located here [Memphis, TN], we are not limited geographically. Our market split is about 50-50 B2B technology to healthcare, and I am solely focused on the healthcare sector.

February 1, 2018

Succession Planning and Unlocking Value in Your Practice

MHT Partners  | Healthcare Investment Bank

It is never too early to lay the groundwork for unlocking the value in your medical practice.  Whether the ultimate goal is liquidity, business continuity or exploring the role of consolidator, there are many advantages of planning for an ownership change three to five years before your desired transaction date. The main benefits include maximizing the ultimate sale value of the practice and preserving your legacy for yourself, your employees and your patients. By preparing appropriately, you can optimize the strategic alternatives for your practice.