Dry powder for M&A shapes capital structures for companies.
This was a key insight revealed by NeuGroup Peer Research in the results of our 2024 Capital Structure Survey sponsored by Standard Chartered Bank: Positioning themselves to do M&A deals is a top driver of debt targets and liquidity policies for NeuGroup member companies. This NeuGroup Insights Brief highlights key trends in the healthcare space, including:
The growing reliance on debt to fund acquisitions
The importance of maintaining liquidity for strategic investments, and
How lower equity costs position healthcare as a less volatile sector.
With over 70% of healthcare firms reporting favorable equity costs and a significant focus on leveraging balance sheets, the survey offers insights into how treasury teams are balancing growth and financial discipline in a dynamic market.