Healthcare's eyes are on private equity. Here's why.

Private equity has been under the microscope recently as its role in healthcare is being questioned by federal agencies and physicians alike. 

According to a study in JAMA Network Internal Medicine, more than 60% of physicians feel negatively about private equity's role in healthcare. Just 10.5% of physicians said they view private equity as positive.

A study published in the Journal of the American Medical Association found private equity-backed hospitals may have worse quality of inpatient care. Findings like this could contribute to physicians' wariness toward private equity.

Though private equity has a strong presence throughout several areas of healthcare, some specialties are seeing more activity than others. Gastroenterology saw a decrease in private equity activity in 2023 compared to 2022, while cardiology saw an increase in deals. 

Overall, private equity deals were down 16.2% in 2023.

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