OVERVIEW

The UK healthcare sector recorded 417 deals in the first nine months of 2025, with activity heavily concentrated in consumer healthcare services, particularly care homes.

Deal Composition

Trade buyers dominated the market, accounting for over 75% of transactions. Private equity participated in 37 deals (8%), while overseas buyers completed 52 transactions (12%).

The largest transaction in this time period was UK-based private equity firm CapVest’s £8.66bn acquisition of German-based pharmaceutical manufacturer, Stada Arzneimittel AG.

Consumer Healthcare and Care Homes

Consumer healthcare services represented 313 deals (75% of total activity). Within this segment, care homes accounted for 131 transactions, making it the most active subsector by volume.

Six trade buyers led consolidation efforts in the care home sector: Cygnet Health Care (the market’s most active acquirer), Potens, Amaya Care Homes, Hatford Care Homes, Sandstone Care Group and Kara Healthcare Group. Their buy-and-build strategies reflect efforts to achieve scale in a fragmented market facing demographic pressures and regulatory complexity.

The sector’s largest care home transaction saw US-based Omega Healthcare Investors acquire 46 care homes from Four Seasons Health Care for £241m, highlighting international interest in UK care assets.

Private Equity Activity

While PE deal volume remains modest, activity is focused on specific subsectors. BGF was the most active PE buyer overall, while IVC Evidensia led among PE-backed platforms, indicating continued appetite for veterinary roll-ups (notably in this instance of overseas veterinary practices).

Buyer Intelligence

Most active buyers across all healthcare:

• Trade: Cygnet Health Care
• PE: BGF
• PE-backed platform: IVC Evidensia

Please contact kathryn.stevenson@marktomarket.io to discuss access to the MarktoMarket platform for comprehensive and verifiable insight into M&A activity, trends and pricing.