Fifteen hospital mergers and acquisitions were publicly announced during the third quarter of 2017, down 21 percent from the 19 deals announced during the third quarter of 2016, according to a report issued by HealthCareMandA.com.
The 15 deals represent a 32 percent decrease from the 22 deals announced during the second quarter of 2017.
Here are three statistics from the report.
1. Nonprofit hospitals and health systems represented the largest group of acquirers during the third quarter, with eight acquisitions announced by seven buyers.
2. A notable acquisition deal completed during the third quarter was Pittsburgh-based UPMC’s acquisition of Harrisburg, Pa.-based PinnacleHealth, which was finalized Sept. 1.
3. Two financially struggling for-profit hospital operators divested four hospitals through four separate transactions. Franklin, Tenn.-based Community Health Systems sold two hospitals during the third quarter, while its spinoff organization — Brentwood, Tenn.-based Quorum Health — also divested two hospitals.
"Despite the lower number of hospital deals in this quarter, some sizable health systems merged or were acquired," said Lisa Phillips, editorial director of Irving Levin Associates, which published the report. "We expect to see a few more of these large mergers in the fourth quarter."