THE BUSINESS OF HEALTHCARE
M&A insights to keep you one step ahead of the ever-evolving healthcare industry.
April 2021
Healthcare Technology & Software
Telehealth Data Shows Increased Demand for Virtual Behavioral Care (April Update)
by Bryan Arkwright, Transact Capital M&A Advisor & Mike Gaetano, VP of Biz Dev for Transact Capital 
The COVID pandemic has accelerated telehealth usage rates across the United States in an effort to limit the spread of the virus and increase mental health service access. FairHealth, an independent nonprofit that collects and manages the country’s largest database of insurance claims, recently updated its Monthly Telehealth Regional Tracker with January 2021 data. The numbers continue to highlight the detrimental impact the pandemic has had on mental health in the United States.

Generating Revenue by Leveraging Telehealth Resources (Webinar) ft. Transact Capital Partners M&A Advisor Bryan Arkwright
Topics covered include defining your telehealth resources, breaking down telehealth ROI & VOI, key variables to consider for telehealth revenue, and creating a culture of telehealth ROI sustainability.
Consumer health behavior and the COVID-19 pandemic: What have we learned? by Karen Young et al. at PwC
The pandemic accelerated changes in consumer healthcare needs and behavior. Key changes pertain to mental health and telehealth to in-home care to other outpatient care sites.
Why health care is increasing M&A to build digital health and services by Mallory Caldwell and Brian Salsberg for EY Parthenon
Deal volume in digital health increased more than 26% in the past year. Similar growth was seen in the home and behavioral health sectors due to increased demand. These trends are expected to continue in 2021, driven by private equity funds needing to put their money to work as soon as possible.
'Fast, agile' digital direct-to-consumer companies are transforming healthcare by S&P Global Market Intelligence
The COVID pandemic has led to a growing interest by consumers to track their own health data and wellbeing. Consumer healthcare businesses traditionally focused on over-the-counter medications, skincare products etc but have since shifted focus towards adopting a direct-to-consumer model.
Top 10 M&A Mistakes Series:
Transact Capital Managing Director, Jonathan Brabrand, authored and released $100 Million Exit: Your Roadmap to the Ultimate Payday in April 2020. The book analyzes large M&A successes and failures to draw practical, actionable advice that company owners can implement to increase the value of their business and be better prepared for an exit. The following is the fifth in a running newsletter series Top 10 M&A Mistakes detailing passages from Jonathan's book.
M&A Mistake #6: Avoidable Surprises
There are many reasons M&A deals fail to close. Macro factors, like changes in tax laws, an economic slowdown, or an unexpected rise in interest rates, can cause a transaction to fall apart. Likewise, a sharp decline in the buyer’s stock price, a change in strategic direction from their Board of Directors, a shortfall in their bank financing, or some other shift in the buyer’s world may lead to them walk away from a deal.
 
In my over twenty years of leading M&A transactions, however, I’ve seen fully three-quarters of failed M&A deals happen because of an unexpected seller-related development, revelation, or discovery. Something comes to light about the target company that the buyer wasn’t expecting.
Who is Transact Capital?
Transact Capital Partners is a full-service mergers and acquisitions advisory and investment banking firm headquartered in Richmond VA with offices in Roanoke VA, Chicago IL, Orlando FL, and Lexington KY. The firm's strong network of relationships with private investors, senior lenders, private equity firms and professional advisors offers a significant advantage in representing business owners for the sale of their business. Transact Capital's experienced and motivated team of 17 professionals are dedicated to helping business owners identify and achieve their vision for the potential future of the company.

Securities and investment banking transactions are offered through its 100% owned affiliate Transact Capital Securities, LLC, Member FINRA and SIPC.
To learn more about the Healthcare Advisory Group, please contact Mike Gaetano at (804) 612-7101 or [email protected]