Why Valuations May Rise in 2021 – And Why You May Not Care
If you’re in the predictions game and you’re paying attention, you can see that just off in the distance several factors are lining up perfectly to collide in 2021 to propel valuations.
[Updated] Bayada, Universal Health Services to Launch New Joint Venture Focused on the Home
“It’s a definite trend,” Mark Kulik, managing director at mergers-and-acquisitions advisory firm The Braff Group, previously told Home Health Care News. “The theme is [that] it’s hard to be great at everything. Your core competency as a hospital is acute care. Home care is very different.”
Pandemic Speeds Up Consolidation
After briefly hitting the pause button in March when “the world turned upside down,” buyers and sellers are back at the table, say M&A analysts in the article. Pandemic Speeds Up Consolidation, from HME News. Find out what Pat Clifford, Managing Director at BRAFF, had to say about the HME industry.
Will a Stay Calm and Carry-on Mindset Beat Back Stubborn COVID Headwinds?
Good question. Glad we asked it. No doubt this is a fluid situation. In fact, given what has transpired in just the past week, our answer today could very well go back to the future in 30 days or so (more on that below). But right now? There is evidence – mostly anecdotal at this point – that the M&A world is beginning to awaken from the Big Sleep.
Will COVID-19 Provide Cover to Corral Value Multiples?
Last summer, we noticed a peculiarly interesting article about what had become a runaway lending environment. Debt capacity had risen as high as 6-7 times EBITDA. What’s more, EBITDA was fast becoming a proforma, go-forward, if-everything-goes-perfect figure. In other words, a substantially puffed up version of the truth that effectively added another 1-2 turns of EBITDA that lenders were willing to put up.