Healthtech M&A deal volumes were robust with 456 transactions seen. Private Equity represented the buyer in approximately 35% of these deals. 

The disclosed transaction value reached $19.2B, surpassing 2023’s total. Only 10% of transactions disclosed their deal values in 2024 as buyers continued to guard the details and strategies behind their acquisitions. The median disclosed M&A transaction value was $30M.

In 2024, the Healthcare Ops subsector saw 191 deals followed by the Healthcare IT Services subsector at 61 deals and the Healthcare Data Management and Telehealth subsectors at 54 and 41 deals, respectively. Furthermore, 54% of sellers had SaaS business models and at least 20% were developing deep tech, such as AI technologies.

Venture capital funding for HealthTech firms continued to dry up throughout 2024. The median VC funding size was $3.8M during this period. As the median M&A deal size was nearly 8 times larger, sellers have instead been encouraged to consider M&A strategies for growth and liquidity.

Strategic acquirers iCoreConnect, VitalHub, HealthCatalyst and Accenture were the most active buyers in this space with 3 deals each in 2024, followed by a number of other strategics such as Clario, Veradigm and HellwellAI with 2 deals each. The 4 PE firms that made it to the top buyers list were TA Associates, EQT, Arsenal Capital Partners and Five Arrows with 3 deals each. Accumulator Valsoft also made 3 deals in the HealthTech space.