“The Corner Series” is a multiperspective podcast series by McGuireWoods featuring commentaries from lawyers, bankers and a number of specialists about the developments and issues dominating today’s middle-market private equity. Tune in with McGuireWoods partner, Geoff Cockrell as he and specialists share real-world insight to help enhance your knowledge.
Did you know that pharma services is one of the most active areas of healthcare investing? On this episode of The Capital Corner, McGuireWoods' Geoff Cockrell sits down with Daniel Brinkenhoff, managing director at Centre Partners, to discuss the segmenting of the pharma services sector and some of the headwinds and tailwinds investors are seeing.
On this episode of The Capital Corner, McGuireWoods' Geoff Cockrell sits down with Dan Hosler, managing partner and founder of DuneGlass Capital, to discuss trends for healthcare services companies interested in using the private equity playbook to surcharge their growth.
On this episode of The Banker's Corner, Provident Healthcare Partners Senior Managing Director Rebecca Leiba and Managing Director Eric Major sit down with McGuireWoods' Geoff Cockrell to discuss investing in cardiology, a sector that has seen a sizable uptick in activity over the past two years.
In this era of private equity involvement with healthcare, companies and individuals can no longer avoid liability by claiming they are just investors in a business. Investors’ liability is now in the spotlight. Professionals in the industry predict that the government will increase the frequency of commercial audits and audits by the Centers for Medicare & Medicaid Services.
On this episode of The Professor’s Corner, host Geoff Cockrell is joined by Wiks Moffat for a discussion of the importance of compliance programs. Bringing over 25 years of professional experience to this discussion, Wiks is a co-founder and principal at HealthCare Compliance Network, where he assesses, builds, implements and maintains compliance programs.
On this episode of The Banker's Corner, Kyle Brown, managing director at Brown Gibbons Lang & Company, joins McGuireWoods' Geoff Cockrell to discuss the latest developments in healthcare private equity investing. With the current deal market offering lower valuations, companies are looking at internal improvements, such as operations and platform infrastructure, as well as mergers and organic growth strategies.
Kyle discusses how diversification, platform infrastructure and a true dual-pronged growth strategy are key drivers of value regardless of the subsector. “Sure, buy and build all day. You have that integration strategy in spades, great,” Kyle says. “But I've seen — and not because of the debt financing markets, but really since COVID — folks are putting a premium on de novo growth strategies.”
Kyle and Geoff also discuss two subsectors they predict will experience increased investor activity in 2023: orthopedics and pain management. Both sectors have unique traits that add value to investors and make them ideal for investment activity.
On this episode of The Banker's Corner, McGuireWoods' Geoff Cockrell invites Raj Kothari, managing director at Cascade Partners, to discuss the current challenges of the healthcare investing market.
An uncertain market and disagreements on valuations have created an interesting start to 2023, which saw a decrease in transactions in the first quarter. For those looking to make larger healthcare sales, the general consensus seems to be to wait until Q2 or Q3 and see if market conditions improve. Raj recognizes that buyers are being more thoughtful and cautious when considering a deal. However, the lower and middle market valuations are holding up.
With higher interest rates causing anxiety throughout much of the first quarter of 2023, McGuireWoods' Geoff Cockrell invites David Baker, managing director at FTI Consulting Group, to share his view of the market and how it is impacting sellers in the M&A space.
Healthcare as an industry is more resilient in a down economy, David explains, as demand is less likely to be impacted by economic factors. This resilience attracts investors looking to avoid the challenges present in other sectors. “I think what attracts a lot of investors to the segment is how steady it is,” says David. “Healthcare hasn't had the highs and lows that many other sectors have gotten over the years.”
On this episode of The Banker's Corner, McGuireWoods' Geoff Cockrell chats with Larry Barr, partner at Middle Branch Partners, about the buy side of private equity transactions, particularly in the healthcare industry. Larry also shares his take on some of the drivers bringing private equity investment into the medtech space.
Despite uncertain waters due to macroeconomic dynamics and uncertainty around credit availability, Larry remains bullish on medtech. “I'm one of those that's a perennial bull,” Larry explains. “As I like to say, I couldn't do what I do for a living if I wasn't an optimist.” He cites a recent medtech deal, coming in at just under $200 million, as proof that there are good transactions in the market and people are going to find a way to close them.
In January 2023, the Federal Trade Commission released a proposed rule that is making waves in the business and legal communities. The proposed rule would make it illegal for employers to enter into noncompete agreements with workers in most circumstances and would require employers to rescind existing noncompete provisions.
McGuireWoods antitrust partner Holden Brooks sits down with Geoff Cockrell to explore the potential ramifications of a noncompete ban, potential legal challenges to the rule and the scope of the FTC’s rulemaking authority, what to watch in the ongoing debate surrounding the scope of the rule, and what alternatives to consider to protect your business interests if the rule goes into effect.
Only 20% to 25% of patients who need behavioral health support actually receive care. That means the behavioral health sector offers opportunity and high return on investment for investors focused on delivering better outcomes at lower costs.
Terry Wang, partner at Regal Healthcare Capital Partners, joins host Geoff Cockrell on this episode of The Capital Corner for a discussion of opportunities in the behavioral health sector, growth strategies and what 2023 may look like.
The physician practice management (PPM) and the consumer healthcare sector are often referred to interchangeably, but they have very different needs and concerns on the market. In consumer healthcare, patients have a lot of discretion in their choice of physician. PPM, by contrast, is more referral-driven. But these distinctions are softening.
On this episode of The Banker's Corner, host Geoff Cockrell welcomes Geoff Smith, managing director and co-head Harris Williams’ Healthcare & Life Sciences Group and Charles Busch, vice president of the company’s Healthcare & Life Sciences Group. Together, they discuss the appeal of PPM to investors, reimbursement stability and trends they expect to see in the future
In this second episode of a two-part series, McGuireWoods partner Mark Freedlander returns to discuss the ways a sponsor company can find itself liable if its portfolio companies enter financial distress.
Join Mark and host Geoff Cockrell for insight on different situations a sponsor may encounter, the protection available to a sponsor who recognizes problems early and the benefits of taking a cautious approach.
Many investors take on an operating thesis that, by law, the obligations of investment companies are not the obligations of the investor. They apply this whether their fund has invested in the securities of a limited partnership, a limited liability company or a corporation.
In the first of two episodes, McGuireWoods partner Mark Freedlander joins host Geoff Cockrell to explore the limits of this idea. Tune in as they discuss preference statutes, fraudulent conveyance and patterns that emerge in troubled portfolio companies.
It’s nine to 12 — maybe even 18 — months after the deal closed. There’s an R&W policy in place, and the purchase agreement covers an array of representations and warranties. But you become aware of something that might be a breach.
In this episode of The Professor’s Corner, McGuireWoods partner and insurance recovery practice leader Tony Tatum joins host Geoff Cockrell to walk listeners through the process of filing a claim, citing the issues that might arise and errors to look out for at the onset. He also discusses the importance of gathering evidence, being thorough, advocating for your company and mitigating losses.
OB-GYNs and fertility providers present a range of opportunities for investors. Many patients see them more frequently than they do general healthcare providers, and advancing research and technology in the space continues to generate successful outcomes.
Tune in to host Geoff Cockrell and Baird managing director of healthcare investment banking Jason Porter as they discuss where the OB-GYN and fertility sectors differ, where opportunities in the sector are growing, and what providers and groups can do to be more successful as they shift to value-based care.
The women’s health sector is a diverse subset of businesses covering multiple specialties, including fertility and ancillary services. On this episode of The Professor’s Corner, McGuireWoods lawyer Kayla McCann Marty joins partner and host Geoff Cockrell to discuss women’s health investing — from models like de novo growth and acquisitions to regulatory compliance issues and future trends in this active sector of the market.
On this episode of The Banker's Corner, McGuireWoods' Geoff Cockrell invites Mikel Parker, a head of investment banking and managing director at AMB, to discuss current valuation trends in healthcare IT and other subsectors.
During their discussion, Mikel pinpoints four main sectors within the concentrated field and the two types of buyers he comes across in his work. Tune in to learn why healthcare IT continues to prove profitable and why companies are shifting from transaction-based models to recurring-based models.
The pharmaceutical services industry has piqued the interest of private equity investors over the last five to 10 years as more drugs move into development and high-quality science continues to grow.
On this episode of The Capital Corner, McGuireWoods' Geoff Cockrell sits down with Dr. Bijan Salehizadeh, managing director at NaviMed Capital, to discuss the latest developments in the pharma services space within healthcare private equity.
In this episode of The Capital Corner, Pete Tedesco of Health Enterprise Partners joins host Geoff Cockrell to discuss post-pandemic demands within the healthcare industry and the growing interest in investment of niche healthcare sectors. Pete explains that it's all about understanding the current industry climate — and it's important to stay ahead of the curve.
In the healthcare industry, some significant compliance issues and violations can go unnoticed or implemented unintentionally. When addressing common healthcare mistakes like Stark Law violations or billing and coding issues, should one fix on a go-forward basis, address through indemnification in the deal context, or self-disclose to the government? The answer isn’t as simple as you might think.
McGuireWoods partner Timothy Fry joins host Geoff Cockrell to discuss the most common mistakes he sees in healthcare policy compliance, the potential consequences and the smartest solutions.
In healthcare transactions, people often think antitrust issues are a big corporation’s problem, but smaller companies may be at risk, too — and not just for civil liability. The past couple of years have brought multiple criminal cases against individual healthcare providers and corporate entities alike.
In this episode of The Professor’s Corner, host Geoff Cockrell interviews Holden Brooks, a partner in McGuireWoods’ Antitrust, Trade, and Commercial Litigation Department, to discuss best practices for managing antitrust risk in the healthcare space. Holden details new developments and regulations to help you prepare for deals and avoid antitrust risk — no matter the size of your business.
Record-setting deal activity toward the end of 2021 strained the representation and warranties insurance (RWI) markets, directly impacting certain sectors including healthcare. This led to RWI policies with significantly higher rates and limited appetite for healthcare transactions. However, as we work through the second quarter of 2022, RWI prospects for healthcare transactions are looking brighter, with carrier appetite returning and rates settling.
In this episode of The Professor’s Corner, host Geoff Cockrell is joined by Sumit Agarwal, a senior vice president in Marsh’s Transactional Risk Group, and Sam Bell, a senior client executive and vice president at Marsh, who discuss how the RWI market reacted to the 2021 deal flow, the current state of the RWI market and returning carrier appetite for healthcare transactions.
When preparing a private equity-backed healthcare investment, a reps and warranty insurer can request two types of exclusions: general exclusions and specific exclusions. The end of 2021 showed a significant increase in general exclusions, which left companies exposed to risk under the False Claims Act. Though the trend started shifting in early 2022, general exclusions are still something counsel should examine.
In this episode of The Professor’s Corner, host Geoff Cockrell invites colleague and McGuireWoods partner Trey Andrews to discuss how to navigate general and specific exclusions when purchasing a reps and warranty policy.
On this episode of The Banker's Corner, McGuireWoods' Geoff Cockrell invites Barry Freeman, managing director of Lincoln International’s U.S. healthcare industry team, to discuss trends and investing opportunities in home health, hospice and palliative care. Barry shares his in-depth knowledge of the home healthcare space, including key takeaways from the recent Home Care 100 industry event. Barry also walks listeners through changes in the industry, where he believes the sector is headed and the advances being made to help manage risk.
On episode one of The Capital Corner, McGuireWoods partner Geoff Cockrell talks to Seven Hills Capital founding partner Matt Pettit about investing in the small to mid-sized healthcare market. As a former CEO of a dermatology practice management company who now leads a firm focused on first-round institutional capital investment, Matt speaks from experience on both sides of the healthcare services table.
Matt discusses why investing in small to medium-sized companies requires a much different approach than strategies larger-scale equity firms employ. He also explains why healthcare businesses need more than just capital and examines the importance of investors knowing their limits.
In episode one of The Banker's Corner, McGuireWoods host Geoff Cockrell and WestCove Partners managing director Justin Hand discuss why investors have a responsibility to drive disruptive evolution in the healthcare business and how the competitive landscape impacts small and less-capitalized practices. Learn what’s driving healthcare exits and why there is more to partnerships for physicians beyond the cash considerations at the close.
In the premiere episode of The Professor’s Corner, McGuireWoods partner David Pivnick shared best board practices to mitigate risk when making challenging decisions. In this follow-up episode, David joins host Geoff Cockrell to expand on a larger trend in healthcare litigation: Private equity funds are finding themselves legally responsible for the activity of the companies in their portfolio.
Hear how qui tam rules increase the risk of qui tam plaintiffs naming PE funds and why investors have a responsibility to ensure proper conduct. Learn why, the darker the gray area of misconduct, the greater the risk is for everyone involved.
In the premier episode of The Professor’s Corner, McGuireWoods partner and host Geoff Cockrell is joined by McGuireWoods partner and complex corporate healthcare litigator David Pivnick. They discuss a recent whistleblower case in Massachusetts that challenged the widely accepted notion that private equity investors are insulated from risk beyond the scope of their financial investment.
Learn about the ruling’s implications for private equity funds and the gray areas of board-driven decision making. Find out about the “one purpose” rule and what Dave deems the red flag of document deliberation.