SCOTT-MACON HEALTHCARE REVIEW: THIRD QUARTER 2014 Third Quarter 2014 Healthcare Review 2 Healthcare Overview, Mean Revenue Multiples 5 Healthcare Overview, Mean EBITDA Multiples 6 Analysis of Selected Healthcare 7 Merger and Acquisition Transactions July 1—September 30, 2014 Analysis of Selected 30 Publicly-Traded Healthcare Companies CONTENTS SCOTT-MACON Healthcare Investment Banking 2 THIRD QUARTER 2014 HEALTHCARE REVIEW Dear Clients and Friends, Scott-Macon is pleased to present our quarterly mens’ healthcare IT business for $1.3 billion; and Bob Healthcare Review covering the third quarter of 2014. If Patricelli’s Evolution1 has been sold to payments con- you haven’t done so already, please email me at ncor- glomerate WEX for 6.0x revenues. Other interesting tech-
[email protected] to automatically continue receiv- nology deals include giant Allscripts picking up Oasis in ing our publications in the future as we are transitioning to the EHR space; Google acquiring telehealth player Lynx digital publishing with email distribution. Design; Premier announcing two more deals for Aperek Pages five and six represent a visual snapshot of and TheraDoc; and Sunquest owner Roper closing on the average multiples for all of the healthcare, medical Strategic Healthcare Programs. Turning to the Outsourc- and pharmaceutical transactions that either closed or were ing segment, clinical services giant Sheridan Healthcare announced during the third quarter, along with the average was acquired by AmSurg for $2.4 billion, representing multiples for the major publicly-traded healthcare, medi- 2.5x revenues. Point-of-care diagnostics leader Alere an- cal and pharmaceutical companies. nounced it is in talks for a sale to an investor group for Beginning on page 7 we present the mergers and $7.8 billion, or 2.6x revenues.