Key Findings:

Transactions on the rise: Providers (82%), payers (96%), and life sciences (70%) respondents believe that transaction activity in their vertical will increase over the next 12 months.
Return to core capabilities: The most transaction activity in 2025 is expected in the primary care (provider), managed care (payer), and biotechnology (life sciences) areas.
Top transaction drivers: Labor costs and staffing shortages (providers); MA penetration, value-based care enablement and digital transformation (payers); and portfolio enhancements/new drug acquisitions (life sciences).
Top hurdles vary by vertical: Providers say financial obstacles are most likely to impact dealmaking; payers highlight regulatory and operational challenges; while life sciences executives emphasize strategic concerns.
Regulatory & policy uncertainty: Fewer than 5% of respondents say they do not have any regulatory concerns when considering a transaction. Top-ranked concerns include reimbursement compliance, and data privacy and security requirements.
AI and cybersecurity focus: The overwhelming majority of respondents are likely to be involved in an investment or transaction related to AI (82%) and cybersecurity (84%) in the next 12 months.

“Everyone seems to anticipate increased activity in 2025,” adds John Brock, another BRG Managing Director. “The combination of PE firms’ dry powder, long hold periods, and last year’s price discovery as interest rates fell—among other factors—should help facilitate a meeting of the minds between buyers and sellers.”

SURVEY: Healthcare & Life Sciences Dealmaking Poised for 2025 Rebound, BRG Study Finds

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