Urology Practice Consolidation Market Outlook
Interest in urology is accelerating with a growing number of new platforms seeking consolidation opportunities and a highly fragmented base of physician groups considering transactions. Although consolidation in urology began slowly starting in 2016, M&A activity within the specialty has picked up. 2020 saw the creation of the fourth and fifth urology platforms, positioning 2021 to be a high-water mark for interest in the sector. Several factors are driving the continued interest in urology, including:
- Strong demographic tailwinds driving demand
- Supply-demand imbalance for practicing urologists
- Attractive consolidation economics
- Covid-19 considerations
Additional factors include the desire to expand ancillary services to a broader patient base, the continued shift to office-based and ambulatory surgery center procedures and the increasing complexity of managing large physician groups.
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