In 2025, M&A deal volumes were strong at 555 transactions, up 19% annually and exceeding levels seen in recent years. Private Equity acted as the buyer in about 29% of these transactions, reflecting robust interest in HealthTech companies from both strategic and financial investors as organizations seek out solutions that improve patient outcomes,  discover new treatments and reduce costs.

During 2025, total disclosed M&A deal values reached $30.3 billion, well above the performance seen in 2023 and 2024, aided by 8 megadeals. Only 12% of transactions disclosed their financial terms as buyers continued to keep the details and strategies behind their acquisitions private. The median disclosed M&A transaction value was $30 million.

Looking at deals by subsector, the Healthcare Ops space led the list with 238 transactions, representing 43% of the total, followed by Healthcare Data Management and Telehealth with 74 and 67 deals representing 13% and 12% of total transaction volumes, respectively. The EHR/EMR and Healthcare IT Services subsectors both saw 46 transactions, with each market equal to 8% of total M&A transaction volumes.

Following its peak in 2021, VC funding for HealthTech firms remained subdued throughout 2025, with deal volumes also lagging. During this period, the median VC funding round amounted to $4 million. Given that the median disclosed M&A deal size was nearly eight times higher, many sellers have been encouraged to pursue M&A as a more effective avenue for growth and liquidity.

In 2025, Private Equity firms took a lead in Top HealthTech Acquirers ranking, with Ardan and New Mountain Capital scoring 4 deals each, followed by Bain Capital, Bregal Investments, Diversis Capital, Great Hill Partners, H.I.G. Capital and TA Associates with 3 deals each. Strategics were also active in the space - Archer Review, Archimed, Ascend Learning, CareCloud, RadNet, Teladoc and Treatment AI made 3 deals each.