Despite ongoing global economic challenges and macroeconomic headwinds facing the healthcare industry, the women’s health sector continues to remain active as private equity continues to partner with and invest into practices building density in their core markets throughout 2023 and into 2024. The past four years have seen deal values resemble that of a roller coaster, with 15 deals in 2020, 8 in 2021, 14 in 2022, and 7 in 2023 (through November), according to internal PGP data. Not surprisingly, women’s health deal activity in the trailing 24 month period has been dominated by three private equity firms, Atlas Partners (Unified Women’s Healthcare), Shore Capital Partners (Together Women’s Health), and BC Partners (Women’s Care Enterprises).

These strategic platforms continue to acquire practices, allowing them to build regional density and economies of scale in concentric markets such as the northeast, southeast, and southwest parts of the United States. In an area dominated by a small number of players however, there is still keen interest by private equity firms looking to enter the women’s health space by making their first platform investment. As new private equity firms enter the space, competition will increase for attractive women’s health practices in the marketplace, not only in areas where platforms already exist but also “between the coasts”, where there appears to be a lot of white space.

From a thesis perspective, investor appetite is bolstered by technological enhancements, an increasing need for services such as reproductive health, maternal health, and personalized medicines, and a specialty that hasn’t had the robust M&A seen in other specialties since the early onset of private equity investment in healthcare – dermatology, eye care, and dental – to name a few.

When evaluating a potential private equity partner, it is critical to consider cultural fit, as well as value, as strategy differs highly from platform to platform. Key aspects such as clinical autonomy, integration, management fees, and governance must be considered to ensure a strong go-forward partnership.

RECENT WOMEN’S HEALTH TRANSACTIONS

Date	Target	PE Sponsor	Platform	State
November 2023	Trio (CA)	KKR	IVI RMA	N/A
November 2023	Boston IVF (US)	KKR	IVI RMA	MA
August 2023	The Advanced IVF Institute	Altas Partners	Unified Women’s Healthcare	IL
June 2023	The Association for Women’s Health Care*	Altas Partners	Unified Women’s Healthcare	IL
April 2023	New Hope Center for Reproductive Medicine	Altas Partners	Unified Women’s Healthcare	VA
January 2023	Women’s Health Consulting	Shore Capital Partners	Together Women’s Health	IL
January 2023	Midwest Center for Women’s HealthCare	Altas Partners	Unified Women’s Healthcare	IL
December 2022	OB/GYN South	Shore Capital Partners	Together Women’s Health	AL
September 2022	Camelback Women’s Health	Altas Partners	Unified Women’s Healthcare	AZ
August 2022	A New Beginning OBGYN	BC Partners	Women’s Care Enterprises	AZ
August 2022	University Obstetrics & Gynecology	BC Partners	Women’s Care Enterprises	AZ
August 2022	Mesa Obstetricians & Gynecologists	BC Partners	Women’s Care Enterprises	AZ
August 2022	Sunrise Women’s Healthcare	BC Partners	Women’s Care Enterprises	AZ
August 2022	Desert Rose OBGYN	BC Partners	Women’s Care Enterprises	AZ
August 2022	Arizona Women’s Health Partners	BC Partners	Women’s Care Enterprises	AZ
August 2022	North Shore Associates in Gynecology and Obstetrics	Shore Capital Partners	Together Women’s Health	IL
August 2022	Northwestern Specialists for Women*	Shore Capital Partners	Together Women’s Health	IL
August 2022	Palm Valley Women’s Care	BC Partners	Women’s Care Enterprises	AZ
August 2022	Bella Women’s Care	BC Partners	Women’s Care Enterprises	AZ
April 2022	Paint Creek Ob/Gyn	Shore Capital Partners	Together Women’s Health	MI
April 2022	Obstetrics & Gynecology Associates	Shore Capital Partners	Together Women’s Health	MI
September 2021	Valley Women for Women	Altas Partners	Unified Women’s Healthcare	AZ

About Our Firm

Physician Growth Partners (PGP) is a transaction advisory firm working exclusively with independent physician groups in transactions with private equity.

Differentiated Healthcare Transaction Advisors:

• Senior partner involvement at every stage of the process
• Extensive physician practice transaction experience
• Unmatched relationships with all key private equity and strategic buyers interested in Women’s Health
• Educational approach focusing on both partnership and cultural fit, while simultaneously achieving a market clearing valuation