M&A Outlook: Active Start, Uncertain Future

YARMOUTH, Maine – Building on a handful of notable deals in late 2019, M&A analysts say they expect a strong 2020—at least to start.

Among the most active in 2019 was AdaptHealth, which in the fourth quarter bought several sizable companies, including McKesson’s Patient Care Solutions business, and became a public company.

“There is money flowing and deals—good deals—are getting done,” said Don Davis, president of Duckridge Advisors. “I think the buyers are going to be more aggressive, chasing deals and getting people motivated to sell in the first half of the year.”

AdaptHealth also bought the HME business of Advanced Home Care in December.

AdaptHealth’s activity underscores a trend of continued consolidation in the HME industry, despite an already thinned out crowd, analysts say.