The dollar volume of merger activity during the second quarter of 2012 more than doubled compared to the prior quarter, reflecting larger transactions, according to a new report from Irving Levin & Associates.
Altogether, healthcare mergers and acquisitions totaled $61.2 billion during the quarter, up from about $30 billion during the prior quarter.
"The healthcare M&A market has been fairly steady, averaging just above 250 transactions a quarter, but it has been the dollar volume, impacted by the number of mega-deals, that fluctuates so much," Stephen M. Monroe, an Irving Levin partner, said in a statement Thursday.
However, the volume was down compared to the year-ago numbers, with the second quarter of 2011 dollar volume reaching $73.53 billion.
Hospitals transactions represented $4.55 billion worth of transactions in this year's second quarter, or only 7 percent of the total. But it was up significantly from the second quarter of 2011, when transactions totaled $3.53 billion.
The Fitch ratings service asserted earlier this month that consolidation in the hospital industry would continue to accelerate, driven by weaker levels of reimbursement and continued financial constraints.