In this episode of the Collaborative Transformation: Driving the Deal series, McDermott Partner Krist Werling speaks with Barry Freeman, Managing Director and Co-Head of Healthcare at Lincoln International, about current trends and topics surrounding the evolution of healthcare and its impact on private equity. They discuss:

• A shifting mindset surrounding deals in the payor market
• Key questions private equity investors want answered before investing in healthcare
• Growth trends in government payor plans and their impact on providers
• Investor insights into the home healthcare and telehealth spaces

In this episode of the Collaborative Transformation: Driving the Deal series, McDermott Partner Krist Werling is joined by Cheairs Porter and Geoff Smith, Managing Directors at Harris Williams, to discuss key topics surrounding mergers and valuations in the private equity space, including:

• Key characteristics of various competitive fund managers and non-traditional private equity funds
• Merging and scaling practice management assets and upcoming platform combination opportunities
• Steps to running a successful auction process from a seller’s perspective
• Valuation predictions for strong healthcare businesses in 2021

James W. Kim was a speaker on the Law & Economics Center podcast on the topic of Federal Efforts to Control Pharmaceutical Prices during the Symposium on the Economics and Law of Pharmaceutical Regulation: Emerging Issues.

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In the latest episode of the Collaborative Transformation: Driving the Deal series, McDermott Partner Krist Werling is joined by Jeff Woods, Co-Head of Healthcare at EY-Parthenon, to discuss macro trends that are impacting private equity investments in healthcare including:

• The impact of deferred healthcare spending on new private equity deal activity
• Investment opportunities in urgent care, healthcare IT, and surgical specialties
• Key considerations when investing capital in hospitals
• Trending investment activity in healthcare and technology

In the latest episode of the Collaborative Transformation: Driving the Deal series, McDermott Partner Krist Werling is joined by Tricia Lebo, Managing Director at Citizens Bank, to discuss opportunities that could spur private equity deals in healthcare. The topics they cover include:

• The current state of the debt markets and their impact on PE deal activity
• Investing opportunities arising from the growth in home medical equipment
• Other healthcare subsectors that are seeing deal activity pick up

In the third and final episode of our series on public hospital M&A, we discuss key regulatory considerations when executing public hospital M&A and planning for post-transaction success. McDermott partners Emily Cook and Megan Rooney are joined by Rex Burgdorfer, managing director at Juniper Advisory to discuss:

• Key regulatory approvals that hospitals must anticipate and address
• Public and government hospital considerations regarding successful 340B participation, including DSH percentage thresholds
• The significance of critical access hospital status to acquirers and steps hospitals can take to maintain this designation and receive the same benefits as larger systems
• Steps hospitals can take to drive quality and financial agreements and promote post-transaction success
• The importance of effectively communicating with employees before dealmaking and the during the transition period

Catch Up on Past Episodes in This Series
Episode 1: Driving the Deal: Public Hospital M & A and Stakeholder Buy-in
Episode 2: Dealmaking in the Sunlight: Navigating Public Hospital M & A

Between pandemic-driven changes to shipping and home delivery privileges, the rise of e-commerce and the nebulous definition of hard seltzer for tax and regulatory purposes, there is a lot that brewers need to know to remain on the right side of the law in 2021. Alva Mather, head of the Firm’s Alcohol Regulatory & Distribution Group and Counsel Nichole Shustack join the Brewbound Podcast to break down all the pressing legal issues facing the beer industry.

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Healthcare payors face many potential changes in the coming year, all of which will impact private equity firms’ outlook on the sector. From federal initiatives to growth in value-based care, 2021 promises to bring significant challenges and opportunities.

In the second episode of the Collaborative Transformation: Driving the Deal series, McDermott Partner Krist Werling is joined by Frank Martin, Vice President of the Managed Care division at Farragut Square Group. They discuss why payor changes impact private equity, covering:

• What investors can expect from the Biden administration for future expansion of Affordable Care Act plans
• How payors will likely approach value-based care in 2021
• The potential for telehealth to create major disruptions with payors in the provider market
• Potential changes to the production of critical medical equipment and Medicare drug prices

Despite the pandemic’s impact, the volume of healthcare private equity transactions accelerated in the latter half of 2020. Now in a new year with a new administration, investors should expect both new opportunities and challenges to emerge in the healthcare sector.

To help navigate the evolving landscape, we’re dedicating a series of podcast episodes to healthcare private equity. Hosted by McDermott Partner Krist Werling, look for new episodes as part of the Collaborative Transformation: Driving the Deal feed.

In this first installment, Krist talks with Brian Fortune, Senior Director at Farragut Square Group, about the top priorities private equity investors should focus on under the Biden administration, including:

• How key government committees could shape healthcare legislation and the resulting impact on private equity investment
• Sectors that would most benefit from increased Medicaid support
• Changes to the proposed 2021 Medicare physician fee schedule
• Sectors offering private equity investors the biggest upside under the Biden administration
• Political power and potential pressure that accompanies Medicare Advantage