Med tech deals expected to surge as reform woes wane

by Diana Bradley, Staff Writer | October 22, 2012
From the October 2012 issue of HealthCare Business News magazine

As the market becomes more comfortable with the implications of health care reform, there will be industry consolidation. Dustin adds, though, it will likely take place in the insurance and provider side of the health care service industry before moving to med tech.

“The mandate has changed the economics for business in this industry, and with such a rapid influx of newly insured individuals, and a new payment structure, we are likely to see rapid industry consolidation,” he says. This means that buyers of med tech will be focused on consolidation– not implementing new technology.

Further, Electronic Health Records (EHRs) and telemedicine are at the forefront of health care IT for the next decade as doctors look to be more efficient and economical with their time.

“As [the interest in EHRs and telemedicine] grows, merger and acquisition activity will surround those [companies] with the biggest growth prospects,” Dustin says.

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