The second quarter M&A numbers are in, preliminarily that is, and buyers nearly set a record for acquisition activity. So far, we have counted 135 publicly announced transactions for the quarter, which is only surpassed by the first quarter’s 139 deals. Continuing at this pace, we are on track to hit 550 deals for the year, which would be a record by about 100. Of course, we shouldn’t count our chickens before they hatch, with higher interest rates or a potential recession looming.
June was an especially strong month, with 52 individually announced deals, after 49 in April and a mere 34 in May. But what was notable about June was that skilled nursing M&A activity seemed to pick up, jumping to 40% of the month’s deals (and 42.5% of the properties sold in June) from 29% in April and May combined. We know the buyer interest is there, so this means more SNF owners got off the sidelines to sell their facilities. We’ll see if this helps valuations settle a bit, and we bet that they will..
We further break down the quarter’s M&A stats in the upcoming issue of The SeniorCare Investor, which will be available to subscribers a little later this week.
