Morning Rounds (05.15.13)

Private equity healthcare transactions more than doubled between 2009 and 2012.

Children’s Medical Center’s President and CEO has been nominated for the chairman position of the American Hospital Association.

The HeartGift Foundation, a nonprofit organization that provides free heart surgery to disadvantaged children all over the world, has established a chapter in Dallas. Full Story

Pace of Private Equity Deals Quickens

Private equity healthcare transactions more than doubled between 2009 and 2012, according to a PwC’s Deals practice report. In 2012, there were 84 private equity deals, of which 12 of exceeded $50 million. By comparison, There were 33 private equity healthcare deals in 2009, with only four valued at more than $50 million.  

Healthcare Spending Increase Remains Low

National healthcare spending in March grew 3.8 percent on an annualized basis, according to Altarum Institute. That rate is one-tenth below the February rate, putting it below the record low levels seen annually in 2009 – 2011, and below our estimate of 4.3 percent for 2012. Meanwhile, healthcare employment may finally be slowing with an average gain of 19,000 jobs per month for 2013, compared with 27,000 per month during 2012. Healthcare prices in March 2013 were 1.6 percent higher than in March 2012, one-tenth below the February rise, and second lowest reading since December 1997’s 1.3 percent figure. The… Full Story

Healthcare Cost Slowdown May Be Permanent, Studies Say

Two reports in the current edition of the journal Health Affairs indicate record-low healthcare spending growth may be more structural than cyclical. Harvard Medical School researchers found much of the 2009-2011 slowdown was caused by the fact that many lost employer-sponsored health insurance during the recession. That led many to forgo care and pay more out of pocket. Fortunately for those paying more out of pocket, the costs of that care grew more slowly than it had previously. A separate Harvard study found that lower spending growth began well before the recession. Researchers estimated such that unemployment and government payment… Full Story

Morning Rounds (05.07.13)

Healthcare executives and materials and practice area managers predict a major shift in admissions from inpatient to outpatient settings.

Venture capital funding for health information technology totaled nearly half a billion dollars in the first three months of 2013.

The economy may play a lesser role in healthcare cuts than preciously thought. Full Story

HIT Attracts $500 Million in Q1

Venture capital funding for health information technology totaled nearly half a billion dollars in the first three months of 2013, according to a report by Austin-based Mercom Capital Group. The deals were split evenly between consumer and health-practice technology. Health information management technology, such as electronic health record and practice management systems, attracted the most funding at $219 million, followed by mobile health came at $127 million.