There’s no playbook for scaling your business after a once-in-a-century pandemic, and that’s especially true of the healthcare and life sciences (HCLS) industries.
Rapid reinvention, breakthrough new drugs and therapies, and spiking demand for first-of-their-kind products and services powered a surge—which then hit headwinds in the form of supply chain challenges, rising costs, and gloomy economic omens. Deals were down last year between 15 to 40 percent across the industries’ eight key subsectors, and multiples seemed to fall as quickly as labor costs rose.
And yet, dealmakers remain generally optimistic about the year ahead, as we report in our 2023 Healthcare and Life Sciences Investment Outlook. In fact, most are predicting a rebound.
What’s driving the optimism? M&A activity in HCLS is often powered by innovation, which itself is driven by evolving consumer expectations and rising demand. And all of those leading business indicators are accelerating.
Our comprehensive 54-page report is based on our annual survey of corporate and private equity dealmakers, extensive research into market environments, and input from our own KPMG specialists working closely with clients in the HCLS sectors.
Here’s a sneak peek at some of the report’s key insights—and potential deal activity and market drivers that may shape the 2023 HCLS investment landscape.