Global healthcare PE hits $191b in 2025, report says

Europe, North America and Asia-Pacific led the healthcare PE surge.

Global healthcare private equity (PE) deal value reached $191b in 2025, surpassing the previous peak in 2021, driven by $1b-plus transactions despite a tariff-related slowdown in the second quarter (Q2), according to a Bain & Company market insight.

Deal volumes totalled 445 buyouts, the second-highest on record, whilst exit value reached $156b, supported by strong sponsor-to-sponsor activity.

Both deal volume and value for sponsor-to-sponsor transactions hit record highs in 2025, with more than 150 deals valued at over $120b, approximately 30 of which exceeded $1b.

Public-to-private transactions and carve-outs continued to provide alternative investment pathways, with both growing in absolute terms since 2023.

Europe led global growth, driven by biopharma and provider deals, with regional deal value doubling to $59b and recording 15 transactions exceeding $1b in 2025.

The region’s deal count increased by nearly 40%, whilst exit value reached an estimated $53b, supported by large sponsor-to-sponsor transactions.

North America recorded 26 transactions exceeding $1b as of November 2025, with 70% attributed to sponsor-to-sponsor sales.

Overall deal volume saw a modest increase compared with 2024 but remained below the record high set in 2021, whilst exit activity also rose to $90b.

The Asia-Pacific region exceeded its 2021 record by more than 30% despite the Q2 slowdown, as biopharma and provider segments continued to drive most healthcare PE activity alongside medtech and healthcare IT.

Japan, India, Australia and New Zealand recorded notable growth over 2024, whilst Greater China more than doubled its 2024 performance in both volume and value, despite activity remaining below recent historical highs.

Biopharma accounted for the largest share of deal value at $80b in 2025, up from $55b in 2024, with deal volume expected to rise by nearly 20% to more than 130 transactions.

The sector has represented around 30% of overall deal volume and at least 22% of deal value each year since 2020.

Provider and related services deal value climbed to an estimated $62b in 2025, whilst deal volume remained flat due to an influx of high-value transactions.

Healthcare IT deal value within the provider segment doubled to an estimated $32b in 2025.

The report noted that healthcare IT is ripe for opportunistic value creation, as buyout deal volume and value have continued to grow since 2023, reflecting sustained investor interest.

Pharma services investment is also becoming more selective, with investors focusing on premium assets that offer operational improvement potential.

Physician groups are innovating on traditional models, as leading platforms move away from buy-and-build strategies towards integrated, clinician-centric approaches that enhance care quality.

“Looking ahead, investors will need conviction in their value-creation playbooks to deliver outsized returns as competition for assets remains intense,” said Nirad Jain, partner at Bain & Company and co-leader of its Healthcare Private Equity team.