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NEWS & INSIGHTS
TOP DEALS
HC REAL ESTATE
SEPTEMBER 2026
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Table of Contents
HEALTH SYSTEMS
PRIVATE EQUITY
STATISTICS & ANALYSIS
Top Hospital Deals of 2026 Large mergers have defined the year in Hospital M&A
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t’s been a busy year in the U.S. Hospital market, with 27 deals announced in 2026 through the last week of August. Activity has been top-heavy this year, with large health system mergers and deals exceeding $100 million in revenue defining the market. These numbers paint a picture of a very different market from what we saw in 2025, which was characterized by much smaller, strategic deals. As reimbursement headwinds from Medicaid and Medicare Advantage intensify, it seems health systems are racing to grow to offset the impact, seeking large partners to secure their networks. Here are some of the top Hospital deals this year: Allina Health joins Sutter Health, creating a $26 billion system California-based Sutter Health and Minnesota-based Allina Health signed a definitive agreement in May to form a $26 billion not-for-profit health system with a network of nearly 40 hospitals. Under the terms
Lead Story.................................................Page 1 Top Stories...............................................Page 3 Health System News............................ Page 11 Private Equity News.............................. Page 11 Healthcare Real Estate News............ Page 12 Top Deals................................................ Page 13 Stat of the Month.................................. Page 14 Monthly Chart........................................ Page 15
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The Evolving Rehab Market
Paul Martin of Martin Healthcare Advisors talks with LevinPro HC
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n July, Strive Physical Therapy & Sports Rehabilitation announced its acquisition of Northeast PT Associates, a physical therapy practice serving Hazleton, Drums and Shenandoah, Pennsylvania. This is Strive’s first deal since its 2022 acquisition of Dresher Physical Therapy.
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Strive Physical Therapy is a privately owned and operated physical therapy practice. It has 43 locations across New Jersey and Greater Philadelphia. Since 2021, it has been part of Confluent Health, which is backed by Partners Group. Martin Healthcare Advisors, an advisor and consultant to the rehabilitation and physical therapy industry, assisted in initiating, structuring and negotiating the transaction on behalf of Northeast PT Associates......Read more on LevinPro HC
NEWS & INSIGHTS
of the merger, Allina will join Sutter Health and become the Upper Midwest Division of Sutter Health, maintaining the Allina Health name, brand and regional headquarters in Minneapolis. Sutter Health would maintain its headquarters in Northern California.
transaction is expected to close in late September or early October, pending certain remaining regulatory approvals.
Allina Health reported $5.3 billion in revenue in 2025.
Also in early June, LifePoint Health, which is owned by certain funds managed by affiliates of Apollo Global Management, purchased eight short-term acute care facilities from ScionHealth. The hospitals, which are located across several states in the Southeast, have a combined 774 beds and generated more than $687 million in annual revenue.
WVU Health System acquires Independence Health System In early June, The West Virginia University Health System added Independence Health System (IHS) to its network, agreeing to invest $800 million in IHS’s five hospitals. IHS has more than 1,000 physicians and advanced practice providers, as well as 7,300 employees, and generated more than $1.17 billion in revenue in the 12 months ending in June 2025. These investments will include a new electronic medical record system, significant facility upgrades and expansions and enhanced clinical capabilities. The
LifePoint Health grabs 8 hospitals from ScionHealth
With the completion of the transaction, Lifepoint’s healthcare delivery network now spans 68 community hospital campuses, more than 70 rehabilitation and behavioral health hospitals and more than 300 additional sites of care. ScionHealth’s divestment will help the system to focus on its specialty hospital services, such as long-term acute care, and downsize its general acute-care community hospital footprint. Surgery Partners sells $1.15 billion hospital portfolio
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In late July, Intermountain Health paid $795 million to acquire Surgery Partners’ ownership interest in Mountain View Hospital and Idaho Falls Community Hospital. Mountain View Hospital is a physician-owned, multispecialty acute care facility, and Idaho Falls Community Hospital is a 24/7 acute care general medical and surgical facility that serves Southeast Idaho. Combined, the hospitals generated $672.2 million in revenue and have 126 beds. Physician ownership of Mountain View Hospital will remain unchanged. The transaction values the combined facilities at approximately $1.15 billion. Two systems in New Jersey merge In January, Englewood Health agreed to merge with
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RWJBarnabas Health, creating one of the largest health systems in New Jersey. Englewood Health is anchored by a hospital and a statewide physician network and generated nearly $1.17 billion in net patient revenue in 2024, according to recent financial documents. As part of the deal, RWJBarnabas Health agreed to make significant capital investments in Englewood Health and will bolster and expand the network of outpatient services and community health programs currently provided by the system. Divestments from Community Health Systems
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Community Health Systems, which has been shedding hospitals for years to balance its portfolio and pay off debt, has divested five hospitals this year. The first announcement came in January, when it sold Crestwood Medical Center in Alabama to Huntsville Hospital Health System for $450 million. Based in Huntsville, Alabama, Crestwood Medical Center offers a wide range of medical services to the Huntsville community and the surrounding region. For the 12 months ended June 30, 2024, it generated $262.8 million in net patient revenue and approximately $50 million in EBITDA. In March, it sold four hospitals in Arkansas totaling nearly 500 beds to Freeman Health System for $110 million. According to facility cost reports, the hospitals generated a combined annual revenue of $366.8 million. The deal closed on July 1, 2026.
Top Stories of August 2026 Healthcare M&A Tumbles in August Amid Summer Slump Healthcare M&A in August dropped significantly to 112 deals, with many investor types slowing their M&A activity, according to data captured in the LevinPro HC platform. August follows a slow July, bringing the third quarter’s running total to 262 deals, well behind the pace we tracked in the second quarter (291 deals by May 31). Here are some of the key trends defining this summer’s healthcare M&A market:
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States push back against private equity firms Private equity firms and their portfolio companies announced only 40 transactions in August, a marginal drop from the 41 deals we tracked in July. It’s lower than the monthly average we saw in the second quarter, which hit 51 deals. Although the tailwinds in the industry remain strong, including demographic changes and high utilization in certain specialties, several states have passed or implemented major legislation specifically targeting private equity and corporate ownership in healthcare. These new laws target everything from pre-transaction notices to more thorough reviews of clinical autonomy between the owner and provider. A new law in Maine went into effect mid-July, for example, requiring healthcare companies that have to complete a Hart-Scott-Rodino (HSR) filing does so with the state as well. And on January 1, 2027, another part of the law will take effect, creating a notice-and-approval process for material transactions between healthcare entities in Maine and private equity companies, hedge funds or management services organizations. Similar laws in Illinois and Washington have also been put into place. Delaware took a more aggressive approach, signing a law on July 20 that immediately enacted a 2-year moratorium blocking private equity hospital acquisitions through July 2028, including any deals through affiliates. However, according to LevinPro HC transaction data, no private equity firms have ever purchased a hospital in Delaware.
were hot targets in August. KKR & Co. Inc. acquired Integer Holdings Corporation, one of the largest CDMOs in the market, in a $5.7 billion deal (3.07x revenue), and McKesson Corporation purchased Precision Medicine Group, a global CRO, for $2.25 billion. Some other notable deals include Sheridan Capital Partners’ acquisition of Carolina Components Group (a CDMO) and the sale of Lindus Health's CRO assets to Curavit Clinical Research. CDMOs and CROs, both third-party outsourcing partners used by pharmaceutical and biotechnology companies, have been popular with investors for years. The market for these companies is extremely fragmented, and investing in them is much less risky than a traditional biotechnology or medical device company. These companies are also experiencing a boon as many firms outsource their entire clinical trial and manufacturing pipelines to develop complex drugs and products. Hospital M&A turns toward rural health There were only three Hospital deals announced in August, following just three in July. All the deals in August were for single short-term acute care facilities in rural areas of the United States, averaging net patient revenue of $144 million and EBITDA of just $1.6 million. Bon Secours Mercy Health acquired Fauquier Health in Warrenton, Virginia, and MaineHealth received legislative approval to take over the struggling York Hospital in Maine. In the Southeast, the University of Mississippi Medical Center added Greenwood Leflore Hospital, a 25-bed hospital in Greenwood, a small city north of Jackson, Mississippi.
A big month for CROs and CDMOs
These deals were announced as the Trump Administration and the Centers for Medicare & Medicaid Services (CMS) announced a wave of grant distributions under its Rural Health Transformation Program. CMS distributed $160 million to Alaska, $122 million to Virginia, $144 million to Alabama, $31.5 million to Ohio and $93.3 million to Georgia. Most distributions are expected in the future, as the program promises $50 million to rural healthcare providers.
Contract research organizations (CROs) and contract development and manufacturing organizations (CDMOs), two verticals under the Life Sciences R&D sector,
The Rural Health Transformation Program was created under H.R. 1, which the Congressional Budget Office estimates will reduce federal Medicaid spending by $911
It’s no coincidence that lawmakers in Delaware began working on the legislation after Prospect Medical Holdings declared bankruptcy, shutting down facilities across nearby Pennsylvania and other states. Prospect Medical Holdings had been owned by private equity firm Leonard Green & Partners.
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billion over 10 years and have a disproportionate impact on rural healthcare and organizations.
Managed Care Q2 2026 Earnings Round-Up Several major Managed Care providers have announced their earnings for the second quarter of 2026, and the results point to improving operating trends across the space. Companies including Humana Inc., Centene Corporation, The Cigna Group, UnitedHealth Group and Elevance Health reported positive financial performance, with several exceeding expectations and raising full-year 2026 guidance. Across the group, management teams emphasized margin recovery, clinical and cost management, membership discipline in key lines and targeted investments in value-based care, technology and operational efficiency. Humana Inc. Humana reported strong second-quarter results, with revenue of approximately $40.9 billion, a roughly 26% increase from the prior-year period. Founded in 1961 and based in Louisville, Kentucky, Humana is one of the largest health insurance companies in the United States, providing private, Medicare and Medicaid plans, along with its CenterWell health services platform. Humana has continued to expand its CenterWell and Medicaid platforms, including integration of the recently completed MaxHealth acquisition and new Medicaid program starts and contract awards. Key Earnings Metrics: Humana delivered second-quarter results that exceeded expectations. The company reported adjusted EPS of $7.61 (GAAP EPS of $5.73) and net income of $694 million. The Insurance segment benefit ratio came in at 91.2% (compared with 89.7% in the prior-year quarter), in line with expectations of slightly above 91%. Total Medi-
care membership reached 11.1 million and total medical membership 17.9 million. Humana affirmed its full-year 2026 adjusted EPS guidance of at least $9.00 while revising GAAP EPS guidance lower to at least $6.52. Management highlighted that medical and pharmacy cost trends remain in line with high-single-digit expectations and that the company remains on track with its membership growth targets and longer-term goal of delivering a sustainable pre-tax margin of at least 3% by 2028. Focus continues on clinical excellence, operating efficiencies, Stars performance and disciplined capital allocation across Insurance and CenterWell. Key Quotes From Q2 2026 Earnings Call: “We are pleased with our year-to-date performance and we continue to be tracking to expectations. We expect that our approach to 2027 MA bids will drive solid progress against our goal of delivering a sustainable pre-tax margin of at least 3% in 2028.” — Jim Rechtin, President and CEO of Humana "The first half of the year went well, and we're right where we said we'd be at Investor Day last year. When we get the clinical care right and run the business more efficiently, everything else follows—stronger earnings and better health and experiences for the people we serve." — Jim Rechtin “Our 2026 member growth trajectory is on track and our membership, both the new and returning membership, is performing as expected.” — Jim Rechtin “I’m truly proud of how our Stars organization and the broader enterprise has risen to this challenge… our rate of improvement outpaced, and in many places meaningfully outpaced, the historical CAGR across 11 of the 12 measures.” — Jim Rechtin Centene Corporation Centene reported positive growth, with total revenues rising 10% year over year to $53.6 billion and premium and service revenues increasing 4% to $44.4 billion.
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Centene Corporation is a large healthcare company that offers a range of health services, including Medicaid and Medicare Advantage managed care, health insurance marketplace products and behavioral health services. Centene has continued to emphasize portfolio optimization and operational focus rather than large-scale expansion, consistent with its multi-year value-creation and margin-restoration efforts. Key Earnings Metrics: The company generated strong second-quarter results, with adjusted diluted EPS of $2.51 (GAAP diluted EPS of $2.19) and net earnings attributable to Centene of $1.091 billion. The consolidated health benefits ratio improved to 89.6% from 93.0% in the prior-year quarter. Managed care membership stood at 25.9 million. Centene raised its full-year 2026 adjusted diluted EPS guidance to greater than $4.80 (from greater than $3.40), citing underlying business strength along with approximately $0.50 of non-recurring items in the quarter. Core segments showed progress on medical cost management, with notable improvement in the commercial/Marketplace health benefits ratio. Management continues to target margin progression across Medicaid, Medicare and commercial while navigating membership dynamics. Key Quotes From Q2 2026 Earnings Call: “Our second quarter results and improved full-year outlook represent meaningful milestones on our path to restoring profitability and increasing shareholder value… We are excited by the positive momentum we have built and remain focused on our goal of delivering industryleading health outcomes with an industry-leading cost structure.” — Sarah London, CEO of Centene “Q2 adjusted diluted earnings per share of $2.51 exceeded our previous expectations, with outperformance driven by underlying business strength and a more fully informed view of our marketplace risk adjustment
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positioning. Thanks to strong first half results, we now expect full year 2026 adjusted diluted earnings per share of greater than $4.80…” — Sarah London The Cigna Group Cigna’s second-quarter results did not disappoint, with total revenue increasing 7% year over year to $71.7 billion. Adjusted income from operations reached $2.1 billion, or $7.78 per share. The Cigna Group is a global health service company that provides insurance, health care management and related services to individuals and businesses through its Evernorth Health Services and Cigna Healthcare segments. It offers a range of medical, pharmacy, behavioral and other health benefits and operates broadly in the United States and internationally. Cigna has maintained a focus on organic growth, affordability initiatives and portfolio alignment following earlier large-scale transactions such as the Express Scripts acquisition. Key Earnings Metrics: Cigna delivered strong performance across both major segments. Adjusted income from operations rose, driven by contributions from Cigna Healthcare and continued strength in Evernorth. The medical customer base stood at approximately 18.4 million, while Cigna Healthcare’s medical care ratio was 84.5%, compared with 83.2% in the prior-year quarter. The company raised its full-year 2026 outlook for adjusted income from operations to at least $30.45 per share. Management pointed to pricing discipline, specialty growth, biosimilar and specialty generic adoption and ongoing investments in technology and customer experience as supporting factors. Key Quotes From Q2 2026 Earnings Call: “[We] delivered strong performance in the second quarter as we continue to execute at a high level, drive results, and accelerate momentum across our
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enterprise.” — Brian Evanko, President and CEO of The Cigna Group "By harnessing technology, data and AI to deliver more personalized experiences, improve access and lower costs, we are creating greater value every day. Our strong second quarter results reflect continued progress against these priorities and demonstrate the effectiveness of our strategy and execution." — Brian Evanko, President and CEO of The Cigna Group UnitedHealth Group UnitedHealth reported second-quarter revenues of $112 billion and earnings from operations of $8 billion, with adjusted earnings of $6.38 per share. UnitedHealth Group is the largest U.S. health company by revenue. It operates through two primary platforms: UnitedHealthcare, the nation’s largest health insurer serving individuals, employers, Medicare and Medicaid populations, and Optum, which provides health services, care delivery, pharmacy benefits and data analytics. The company serves tens of millions of consumers across its businesses. In recent periods, UnitedHealth has focused on operational simplification, medical cost management, pricing discipline and the application of technology and AI to improve affordability and the care experience, following a challenging 2025. Key Earnings Metrics: UnitedHealth delivered a clear improvement in medical cost trends during the second quarter, with the medical care ratio falling to 86.7% from 89.4% in the prioryear period. The improvement was driven by product design changes, stronger medical management and better-aligned pricing, and also reflected approximately $860 million of net favorable prior-period development. UnitedHealthcare served 48.5 million consumers and generated revenues of $86 billion with earnings of $3.9 billion. Optum reported revenues of $65.7 billion and earnings of $4 billion.
The company raised its full-year 2026 adjusted net earnings guidance to a range of $19.50 to $20.00 per share, reflecting year-to-date performance and an improved outlook for the remainder of the year. Management pointed to broad-based execution, continued investments in infrastructure and technology and progress in simplifying operations as key drivers of the stronger results and higher guidance. Key Quotes From Q2 2026 Earnings Call: “Our results and outlook reflect the continuing progress in our work to simplify how we operate, improve both affordability and the health care experience for patients and care providers and apply modern technology to create real improvement for people.” — Stephen Hemsley, Chairman and CEO of UnitedHealth Group “The pricing, benefit design and market actions we've taken over the past year have been central in supporting our second quarter results and improved full-year outlook. As you have seen, UnitedHealthcare’s overall performance in the second quarter exceeded expectations, driven by better results in Medicare Advantage while commercial benefits remain pressured.” — Tim Noel, CEO of UnitedHealthcare Elevance Health Elevance reported second-quarter operating revenue of $49.8 billion, up 0.8% from the prior-year period, and adjusted diluted EPS of $7.45. Elevance Health (formerly Anthem) is one of the largest U.S. health benefits companies. It offers commercial, Medicare, Medicaid and specialty products primarily under the Blue Cross Blue Shield brands across multiple states, along with its Carelon health services platform focused on integrated care and value-based solutions. The company has been actively managing its portfolio, including potential exits from certain Medicaid markets where it cannot achieve sustainable financial performance, while accelerating investments in capabilities that lower costs and improve the member and provider experience.
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Key Earnings Metrics: Elevance delivered results ahead of expectations in the second quarter. Adjusted diluted EPS came in at $7.45, supported by favorable benefit expense performance and an approximately $0.80 per share net below-theline benefit. Medical membership totaled 44.9 million and operating cash flow was $1.9 billion. The company raised its full-year 2026 adjusted diluted EPS guidance to at least $27.00 (and diluted EPS to at least $20.10) and increased its operating cash flow outlook to at least $6 billion. Management described 2026 as a trough year (the expected low point) in certain areas, particularly Medicaid, while expressing confidence in returning to at least 12% adjusted EPS growth in 2027. Focus remains on disciplined execution, medical cost management, member experience improvements and scaling Carelon’s integrated solutions. Key Quotes From Q2 2026 Earnings Call: “Elevance Health delivered second quarter results ahead of our outlook, reflecting favorable benefit expense performance, disciplined execution, and the actions we are taking to manage healthcare costs more effectively across the enterprise.” — Gail Boudreaux, President and CEO of Elevance Health “Importantly, our confidence is not based on a single line of business or a single quarter. We are seeing progress across the breadth of our portfolio.” — Gail Boudreaux “Medicare Advantage reflects the deliberate actions we took to improve performance. Our commercial and individual ACA businesses are developing as anticipated, and Carelon and our AI-enabled capabilities are becoming more meaningful contributors.” — Gail Boudreaux
McKesson to Acquire Precision Medicine Group for Approximately $2.25 Billion McKesson Corporation has signed a definitive agreement to acquire Precision Medicine Group, LLC for approximately $2.25 billion. Following completion of the transaction, Precision Medicine Group will report within McKesson’s Oncology & Multispecialty segment. Precision Medicine Group is a global provider of clinical research and biopharma commercialization services. Life sciences innovators at biotechnology and pharmaceutical companies rely on Precision Medicine Group to move their discoveries from molecule to market through a breadth of integrated services and technology-enabled products, including biomarker intelligence, lab services, a global clinical research organization, market access consulting and commercialization support. McKesson is a publicly traded healthcare company headquartered in Irving, Texas. It is one of the largest pharmaceutical distributors in North America and also provides medical-surgical supplies, oncology and specialty care solutions and prescription technology services. McKesson’s customers include pharmacies, hospitals, healthcare providers, biopharma companies and other partners across the supply chain. The acquisition will enhance McKesson’s clinical research and commercialization services, strengthen clinical trial execution and broaden its clinical service offerings.
Francisco Partners to Acquire Weave Communications for $650 Million Francisco Partners has agreed to acquire Weave Communications at an aggregate equity valuation of approximately $650 million. Upon completion of the transaction, Weave will cease to trade on the NYSE and become a private company. The deal is anticipated to close in the fourth quarter of 2026. Weave Communications is an AI-powered patient engagement and payments platform purpose-built for healthcare practices. The company is headquartered in Utah, and serves more than 40,000 customer locations.
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Francisco Partners is a global investment firm that specializes in partnering with technology and technologyenabled businesses. Since its launch more than 25 years ago, Francisco Partners has invested in more than 500 technology companies and has raised more than $75 billion in capital to date. Following the completion of the transaction, Weave will continue to operate under the Weave name and maintain its headquarters in Lehi, Utah. Jefferies LLC is serving as exclusive financial advisor to Weave and Orrick, Herrington & Sutcliffe LLP is serving as its legal counsel. Kirkland & Ellis LLP is serving as legal counsel to Francisco Partners.
Concentra Acquires 4 Minnesota Occupational Health Centers Concentra has acquired four Minnesota Occupational Health medical centers serving Minnesota’s Twin Cities region. The centers are located in Coon Rapids, Eagan, Saint Paul and Shakopee, Minnesota. Beginning August 17, the medical centers will operate as Concentra. Financial terms of the deal were not disclosed. Concentra is the largest provider of occupational health services in the United States by number of locations. Its approximately 13,000 colleagues and affiliated physicians and clinicians support the delivery of a suite of services, including occupational and consumer health services and other direct-to-employer care. Concentra supports the care of approximately 54,000 patients each business day on average across 46 states and the District of Columbia at its 633 occupational health centers, 415 onsite health clinics at employer worksites and Concentra Telemed, as of June 30, 2026. The acquisition strengthens access to specialized occupational health care for Minnesota employees and connects local care teams with Concentra’s national clinical and operational resources. Concentra plans to invest in enhancing the care experience across the centers, including significant improvements to its St. Paul/Midway center that will establish it as a flagship occupational health center for the region. With the addition, Concentra will operate eight medical centers across Minnesota.
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Providence Equity Partners to Acquire Majority Stake in CheckedUp Providence Equity Partners has agreed to acquire a majority stake in CheckedUp, a physician-founded patient education and engagement company. Providence is acquiring the company alongside cofounders Dr. Richard Awdeh and Mark Awdeh, who will continue to lead CheckedUp, and Varsity Healthcare Partners, which is joining as a strategic minority investor. The transaction is expected to close in the third quarter of 2026, subject to customary closing conditions. Terms were not disclosed. CheckedUp is a physician-founded, physician-run patient education company offering tech-enabled patient engagement solutions. The company operates at the specialty point of care, connecting patients, healthcare providers and life sciences companies within high-value specialty care environments. Providence Equity Partners is a leading middle-market private equity firm with deep sector expertise in media, communications and education focused on North America and Europe. Founded in 1989 in Providence, Rhode Island, the firm has invested more than $40 billion across more than 180 portfolio companies with a transatlantic investment team based primarily in London, New York and Boston. Varsity Healthcare Partners will bring additional healthcare investment and growth expertise to support CheckedUp’s long-term strategy. Moelis & Company LLC served as financial advisor, while Greenberg Traurig and Honigman served as legal counsel to CheckedUp. Debevoise & Plimpton served as legal counsel and Mintz, Levin, Cohn, Ferris, Glovsky and Popeo served as regulatory counsel to Providence and Varsity.
Hammes Partners Buys Reunion Rehabilitation Hospital Jacksonville for $48.75 Million Hammes Partners has acquired Reunion Rehabilitation Hospital Jacksonville for $48.75 million. The deal was reported by Jacksonville Daily Record on August 13, 2026. The buyer, through HPIV Jacksonville LLC, closed the
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real estate transaction as recorded in a deed with the Duval County Clerk of the Court on August 12. The seller was Reunion Jacksonville RE LLC of Dallas, which had purchased the hospital’s land in December 2022 from Tamaya Loan Acquisition LLC for $2.36 million ahead of construction. Reunion Rehabilitation Hospital Jacksonville is a 48-bed inpatient physical rehabilitation facility located on the Southside of Jacksonville, Florida. The hospital is managed by Nobis Rehabilitation Partners. Hammes Partners is a Milwaukee, Wisconsin-based private investment management firm that invests on behalf of institutional investors with an exclusive focus on the U.S. healthcare real estate market.
KKR to Acquire Integer Holdings for $5.7 Billion An affiliate of investment funds managed by KKR has agreed to acquire all outstanding shares of Integer Holdings Corporation in an all-cash transaction valued at an enterprise value of approximately $5.7 billion. Integer stockholders will receive $127 per share. The transaction is expected to close by the end of 2026, subject to stockholder approval and customary regulatory clearances. Upon completion, Integer will become a privately held company and its common stock will no longer be listed on the New York Stock Exchange. Integer Holdings is one of the largest medical device outsource manufacturers in the world, serving the cardiac, neuromodulation, vascular, portable medical, advanced surgical and orthopedics markets. According to its most recent annual filing, Integer reported full-year 2025 revenue of $1.85 billion and EBITDA of nearly $292.4 million. KKR is a global investment firm that manages multiple alternative asset classes, including private equity, credit and real assets, with strategic partners that manage hedge funds. KKR has a long track record of supporting healthcare companies globally, having invested approximately $17 billion in the sector since 2004.
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The definitive agreement follows the comprehensive strategic review announced by Integer on April 30, 2026. As a KKR portfolio company, Integer will have additional flexibility and long-term capital to invest in capacity, technology, innovation and talent. KKR intends to establish a broad-based employee ownership and engagement program at Integer following the close of the transaction. KKR will make its investment through its core private equity strategy and finance the deal through a combination of equity provided by investment funds managed by KKR and committed debt financing.
Jazz Pharmaceuticals to Acquire Actio Biosciences for $820 Million Upfront Jazz Pharmaceuticals has agreed to acquire Actio Biosciences for $820 million upfront and up to $500 million in contingent consideration. The deal expands Jazz’s rare epilepsy portfolio with ABS-1230, a novel, first-in-class small molecule KCNT1 ion channel inhibitor. The transaction is expected to close by the fourth quarter of 2026, subject to customary closing conditions. Jazz will fund the acquisition through a combination of cash on hand and existing financing facilities. Actio Biosciences is a clinical-stage biotechnology company advancing the translation of genetic insights into novel small molecule precision medicines. Its lead clinical asset is ABS-1230, a first-in-class small molecule precision therapy designed as a KCNT1 ion channel inhibitor. Jazz Pharmaceuticals is focused on identifying, developing and commercializing products in the areas of hematology and oncology. According to its most recent financial report, Jazz Pharmaceuticals’ revenue for full year 2025 was approximately $4.3 billion, and EBITDA was $263.5 million. As part of the transaction, and concurrently with closing, Actio Biosciences will spin out a new privately held entity with certain management, employees and assets (not including ABS-1230). The new independent company will be funded by existing investors, with Jazz receiving a minority stake and certain related rights. Its
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focus will be on genetic rare neurological diseases, including a clinical-stage small molecule TRPV4 inhibitor, ABS-0871, for Charcot-Marie-Tooth type 2C and other early-stage programs. Moelis & Company LLC is serving as financial advisor to Jazz Pharmaceuticals, and Hogan Lovells is serving as legal advisor. J.P. Morgan Securities LLC and Centerview Partners LLC are serving as financial advisors to Actio Biosciences, and Cooley LLP is serving as legal advisor.
Health System News & Activity August was a slow month for health systems in the healthcare M&A market, with only eight transactions announced, including three deals in the Hospital sector. MaineHealth, a not-for-profit, integrated health systembased in Portland, acquired York Hospital, a short-term acute care hospital. Established in 1906, York Hospital serves southern York County and portions of the seacoast New Hampshire area. The hospital has 54 beds and employs more than 275 medical staff. According to its most recent cost report data, the hospital generated net patient revenue of $189.7 million in 2025, but had a loss of $6.4 million EBITDA in the same period. "The partnership comes at a time when hospitals across Maine and the nation are facing increasing financial pressures, including rising labor and supply costs and ongoing reimbursement challenges," the press release announcing the deal stated. State regulators have approved York Hospital’s plan to join MaineHealth, and the deal is expected to close on October 1. By joining MaineHealth, York Hospital will gain access to additional resources, infrastructure and clinical support to help ensure long-term sustainability. There have been a handful of transactions for Mainebased organizations in the past few years. In January 2025, Prime Healthcare Services, Inc. purchased Central Maine Healthcare, a three-hospital system in Lewiston, and in 2021, Down East Community Hospital acquired Calais Regional Hospital, a critical access hospital. Calais had filed for Chapter 11 Bankruptcy in
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2019 after years of operating in the red. And after acquiring eight hospitals from ScionHealth in early June, Lifepoint Health, Inc. announced it was selling Fauquier Health in Warrenton, Virginia. No financial terms were disclosed, but the deal is expected to be completed in the fall of 2026. Fauquier Health is a 97-bed acute care hospital offering surgical services (including robotics), a 24-hour Emergency Department, extensive medical imaging capabilities, an Intensive Care Unit staffed with Critical Care trained physicians and more. The hospital generated $133.5 million in net patient revenue in the 12 months ending on October 31, 2025. In the outpatient care market, HCA Healthcare, Inc. announced it was buying Texas MedClinic, an urgent care operator with 40 facilities across Texas. The deal closed at the beginning of August, according to press releases from Methodist Healthcare, a San Antonio-based system co-owned by HCA, and St. David’s HealthCare, a partnership between HCA and two Texas nonprofits. Methodist Healthcare nabbed 18 of Texas MedClinic’s urgent care facilities as part of the deal, while St. David’s HealthCare acquired 14 clinics. The remaining eight clinics have become part of HCA Houston Healthcare, which is fully owned by HCA.
Private Equity News & Activity Private equity (PE) activity in healthcare M&A held steady in August 2026, according to data captured by the LevinPro HC database. PE buyers and/or their portfolio companies were involved in 40 deals out of 112 total healthcare transactions announced throughout the month, representing 36% of overall volume. The total PE deal count nearly matched the 41 announcements made in July 2026, though total healthcare M&A volume declined from 150 deals. Activity was also lower than August 2025, which recorded 60 PE deals out of 182 total. As is usually the case, Physician Medical Group (PMG) remained the most active sector for PE buyers in August. There were 16 PE transactions announced during the month out of 29 total PMG deals. The most active
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HEALTHCARE REAL ESTATE
PE-backed acquirer during the month was Specialized Dental Partners, a portfolio company of Quad-C. The company acquired Hickory, North Carolina-based KOS Endodontics and the Duluth, Georgia-based practice of Dr. Rakesh Raina, DDS. Financial terms for both deals were not disclosed. Life Sciences R&D ranked second with five PE-backed deals out of seven total. The sector also featured the month’s largest PE deal announcement: KKR’s acquisition of Integer Holdings for $5.7 billion. Integer Holdings is one of the largest medical device outsource manufacturers in the world serving the cardiac, neuromodulation, vascular, portable medical, advanced surgical and orthopedics markets. According to its most recent annual filing, Integer reported full-year 2025 revenue of $1.85 billion and EBITDA of nearly $292.4 million. Behavioral Health Care, eHealth and Medical Outpatient Building tied for third with three PE deal announcements each. The eHealth sector included the month’s second-largest disclosed PE transaction by purchase price: Francisco Partners’ acquisition of Weave Communications for $650 million. Home Health & Hospice, Medical Devices, Rehabilitation and Other Services each recorded two PE-backed deals. We will continue tracking activity closely on LevinPro HC as the second half of the year continues.
Healthcare Real Estate News & Activity Medical Outpatient Building (MOB) M&A rose in August 2026 with a total of 16 transactions, a slight increase from the 13 reported in July 2026 as well as the 13 announced in August 2025. As of the last week in August, there have been a total of 150 MOB transactions reported since the start of 2026. While deal volume was only slightly higher, total square footage took a large hit. In August, square footage reached more than 1.32 million, a sharp decline from the upwards of 8.03 million square feet across 142 facilities announced in July 2025. However, it is important to note that the vast majority of the square footage and facilities announced in July comes from the acquisi-
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tion of an 86-facility portfolio totaling 5.6 million square feet; the month is an outlier due to that transaction. On the other hand, the square footage of August is notably more than the 619,327 across 15 properties announced in August 2025. There were four deals with more than 100,000 in disclosed square footage. The largest was Baptist Health’s acquisition of Southbank Medical Pavilion, a 493,012-square-foot MOB in Jacksonville, Florida. ShareMD acted as the seller. The price was $65 million, or approximately $132 per-square-foot. Additionally, Baptist Health’s transaction marks the largest deal in terms of disclosed spending, which totaled $225.91 million across nine deals with prices. The second largest purchase price was George Washington University’s $51.4 million acquisition of a MOB in Washington, D.C. The MOB comprises 122,797 square feet and is occupied by Medical Faculty Associates Inc. Unlike previous months, no buyer announced more than one MOB transaction in August. There were six transactions with an undisclosed buyer. Some of the buyers who did report deals include Crown MedRealty Partners (six-facility MOB portfolio in Holland, Michigan), Hammes Partners (one MOB in Eagan, Minnesota) and Thomas Park Investments (four-facility MOB portfolio in Washington, D.C.). With these deals, Crown MedRealty has completed four deals in 2026; Hammes Partners and Thomas Park Investments have both completed two in the MOB space. Real estate investment firms were the most active buyer type throughout the month with five announcements, up from four in July and three in August 2025. Private equity firms announced three deals. Marcus & Millichap carried on its active year with five more MOB announcements, pushing the company’s yearly total to nine deals. HREA- Healthcare Real Estate Advisors also reported multiple deals, having worked on two in August. CBRE, Colliers and Cushman & Wakefield announced one deal.
VOLUME 32 | ISSUE 09
TOP DEALS
Top Deals August 2026 TARGET
Physician Medical Groups LISTING
Village Family Dental DSO Private North Carolina
ACQUIRER
LISTING
DATE
PRICE
Park Dental Partners, Inc. Roseville, MN
NASDAQ: PARK
8/10/2026
$39,100,000
In Brief: Village Family Dental DSO is a dental service organization (DSO) based in North Carolina. It currently serves Fayetteville, Hope Mills, Eastover, St. Pauls, Raeford and Laurinburg. The DSO supports 26 general dentists and 22 specialists and is led by five ownerdoctors: Anuj James, D.D.S., Mit Patel, D.D.S., Grant Wiles, D.D.S., Bradley Ryan, D.D.S. and Jordan Olsen, D.D.S.
Top Deals August 2026 TARGET
Rehabilitation LISTING
Reunion Rehabilitation Hospital Private Jacksonville, FL
ACQUIRER
LISTING
DATE
PRICE
Hammes Partners Milwaukee, WI
Private
8/14/2026
$48,750,000
In Brief: Reunion Rehabilitation Hospital Jacksonville is a 48-bed inpatient physician rehabilitation facility located on the Southside of Jacksonville, Florida. The hospital is managed by Nobis Rehabilitation Partners.
Top Deals August 2026 TARGET
Biotechnology & Pharmaceuticals LISTING
Alkeus Pharmaceuticals Private Cambridge, MA
ACQUIRER
LISTING
DATE
PRICE
Tarsus Pharmaceuticals, Inc. Irvine, CA
NASDAQ: TARS
8/6/2026
$450,000,000
In Brief: Alkeus Pharmaceuticals is a privately held retinal disease-focused biotechnology company developing gildeuretinol (ALK-001), an investigational once-daily oral therapy for Stargardt disease. The company was founded in 2010 and is based in Cambridge, Massachusetts. Actio Biosciences Private San Diego, CA
Jazz Pharmaceuticals plc Dublin, Ireland
NASDAQ: JAZZ
8/10/2026
$820,000,000
In Brief: Actio Biosciences is a clinical-stage biotechnology company advancing the translation of genetic insights into novel small molecule precision medicines. Actio Biosciences' lead clinical asset is ABS-1230, a novel, first-in-class small molecule precision therapy KCNT1 ion channel inhibitor..
Top Deals August 2026
eHealth
TARGET
LISTING
ACQUIRER
LISTING
DATE
PRICE
Weave Communications Lehi, UT
NYSE: WEAV
Francisco Partners San Francisco, CA
Private
8/18/2026
$650,000,000
In Brief: Founded in 2008, Weave Communications is an AI-powered patient engagement and payments platform purpose-built for healthcare practices. The company is headquartered in Lehi, Utah, and serves more than 40,000 customer locations.
Top Deals August 2026
Life Sciences R&D
TARGET
LISTING
ACQUIRER
LISTING
DATE
PRICE
Integer Holdings Corporation Plano, TX
NYSE: ITGR
KKR & Co. Inc. New York, NY
NYSE: KKR
8/9/2026
$5,700,000,000
In Brief: Integer Holdings Corporation is one of the largest medical device outsource manufacturers in the world serving the cardiac, neuromodulation, vascular, portable medical, advanced surgical and orthopedics markets.
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STATISTICS & ANALYSIS
Hospital Deal Size by Revenue, Q1:21 to Q2:26
Source: LevinPro HC, August 2026
Editor's Commentary: In our LevinPro HC Stat of the Month, we're previewing one of the charts from our newly released market report covering Hospital M&A from the past five and a half years, which you can download here. The chart above shows the deal size of Hospital transactions from the first quarter of 2021 to the second quarter of 2026. Approximately 40% of deals were for smaller facilities and organizations, such as critical access hospitals, and 43% of all deals were for institutions or portfolios that topped $100 million in revenue. Around 17% of all deals were for large institutions, such as health systems and academic medical centers. The largest deal, based on revenue size, was the Q2:22 merger between Advocate Aurora Health and Atrium Health, which created Advocate Health, a not-for-profit
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health system with nearly 70 hospitals and $27 billion in combined revenue. Some other notable transactions include SCL Health’s acquisition of Intermountain Healthcare, a Salt Lake City-based system with $7.74 billion in revenue, in September 2021, and Geisinger Health’s ($6.43 billion in revenue) merger with Kaiser Permanente in April 2023. The data also shows that today’s market is very different from the pre-COVID market. From 2015 to 2019, only 9% of transactions were for hospitals with less than $100 million in revenue, 29% were for medium-size hospitals and an overwhelming 62% of deals were for large institutions that topped $500 million in revenue. There were several significant deals from that era, including the acquisition of LifePoint Health, Inc. ($6.26 billion in revenue) and Ventas’ purchase of Ardent Health Services ($2 billion in revenue).
VOLUME 32 | ISSUE 09
STATISTICS & ANALYSIS
Technology
Services
Deal Volume, August 2026 vs. July 2026 and August 2025 Sector
August 2026
Share
July 2026
Change
August 2025
Change
Behavioral Health Care
3
3%
8
-63%
9
-67%
Healthcare Staffing
2
2%
3
-33%
2
0%
Home Health & Hospice
4
4%
6
-33%
12
-67%
Hospitals
3
3%
3
0%
1
200%
Labs, MRI and Dialysis
4
4%
8
-50%
11
-64%
Managed Care
0
0%
2
-100%
2
-100%
Medical Outpatient Building
16
14%
13
23%
22
-27%
Outpatient Surgery Center
4
4%
1
300%
3
33%
Physician Medical Groups
30
27%
39
-23%
38
-21%
Rehabilitation
3
3%
5
-40%
5
-40%
Specialty Pharmacy
2
2%
1
100%
3
-33%
Other Services
12
11%
13
-8%
15
-20%
Biotech & Pharma
9
8%
17
-47%
15
-40%
eHealth
11
10%
16
-31%
32
-66%
Life Science R&D
7
6%
4
75%
6
17%
Medical Devices
2
2%
10
-80%
6
-67%
112
100%
149
-25%
182
-38%
Grand Total
Technology
Services
Deal Value*, August 2026 vs. July 2026 and August 2025 Sector
August 2026
Share
July 2026
Change
August 2025
Change
Behavioral Health Care
$0.0
0%
$0.0
—
$14.5
-100%
Healthcare Staffing
$0.0
0%
$0.0
—
$0.0
—
Home Health & Hospice
$0.0
0%
$0.0
—
$50.4
-100%
Hospitals
$0.0
0%
$795.0
-100%
$55.0
-100%
Labs, MRI and Dialysis
$0.0
0%
$193.6
-100%
$215.0
-100%
Managed Care
$0.0
0%
$0.0
—
$0.0
—
Medical Outpatient Building
$225.9
7%
$1,587.4
-86%
$221.6
2%
Outpatient Surgery Center
$0.0
0%
$0.0
—
$0.0
—
Physician Medical Groups
$39.1
1%
$29.6
32%
$1,901.3
-98%
Rehabilitation
$48.8
2%
$0.0
—
$0.0
—
Specialty Pharmacy
$21.3
1%
$0.0
—
$0.0
—
Other Services
$11.7
0%
$3,652.8
-100%
$21.2
-45%
Biotech & Pharma
$2,091.0
65%
$17,815.0
-88%
$2,291.7
-9%
eHealth
$755.0
24%
$509.8
48%
$770.1
-2%
Life Science R&D
$0.0
0%
$0.0
—
$0.0
—
Medical Devices
$0.0
0%
$358.0
-100%
$0.0
—
$3,192.8
100%
$24,941.3
-87%
$5,540.8
-42%
Grand Total Source: LevinPro HC, September 2026 *=in millions
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