Private equity investment in healthcare hit a record $191 billion in 2025, according to new data from Bain & Company, underscoring healthcare’s position as one of PE’s most resilient and attractive sectors.
Healthcare’s scale, durable demand from aging demographics, and long-standing underinvestment in technology continue to draw capital. Pharma and provider services dominated deal activity last year, with growing interest in pharma services infrastructure (including packaging, filling, and sterilization for injectables like GLP-1s), clinical trial sites, and data and analytics firms.
On the provider side, PE firms are increasingly backing health IT, workflow automation, and diagnostic technologies aimed at improving frontline productivity and reducing reliance on scarce labor such as nurses and radiologists. Labor shortages, wage inflation, and pressure to improve operational efficiency are accelerating this shift.