{"id":15554,"date":"2019-01-02T13:10:24","date_gmt":"2019-01-02T13:10:24","guid":{"rendered":"http:\/\/www.ceo-na.com\/?p=15554"},"modified":"2019-01-02T19:13:10","modified_gmt":"2019-01-02T19:13:10","slug":"healthy-business-model","status":"publish","type":"post","link":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/opinion\/healthy-business-model\/","title":{"rendered":"The healthy business model"},"content":{"rendered":"<p><strong><em>Medical-technology companies rely on M&amp;A strategy for growth.<\/em><\/strong><!--more--><\/p>\n<p>Among medical-technology companies there are some brands not really well known, but they are listed on the 10 biggest list (in terms of million US dollars): Fresenius Medical Care (Germany), Becton Dickinson (US), Cardinal Health (US), Stryker Corp. (US) and Baxter International Inc. (US).<\/p>\n<p>Last year, Baxter generated some 10.2 billion US dollars of revenue and was ranked tenth worldwide. The No. 1 listed company was Medtronic Inc. (US) that gained 29 billion US dollars.<\/p>\n<p>McKinsey &amp; Company, an analyst company, diagnosed that for many medical-technology companies, M&amp;A continues to be a core growth driver and will likely see increased activity as these players work to meet overall high-growth expectations for the sector.<\/p>\n<p>McKinsey revealed that looking at the 30 largest medical-technology companies by revenue, more than 60% of their 2011 to 2016 growth was due to M&amp;A (net of divestitures).<\/p>\n<p>These top companies use M&amp;A as a way to stay on top: activity by these participants represented some 70% of the total deals in medical-technology M&amp;A over that period.<\/p>\n<p>An analysis of 54 pure-play medical-technology companies that were publicly listed during a ten-year period (2006 to 2016) to evaluate their approaches to M&amp;A. Only 20% of them relied on a mostly \u201corganic\u201d approach and used almost no M&amp;A.<\/p>\n<p>Those companies that were active for the entire period and that took an organic approach were smaller\u2014only 2 companies that grew organically reached $2 billion or more in annual revenue by 2016.<\/p>\n<p>The <a href=\"https:\/\/www.mckinsey.com\/industries\/pharmaceuticals-and-medical-products\/our-insights\/delivering-growth-m-and-a-in-medical-technology?cid=other-eml-alt-mip-mck-oth-1801&amp;hlkid=732e709598aa4effaa2c071ac8a32314&amp;hctky=10160175&amp;hdpid=c8926f08-2798-4cc3\" target=\"_blank\" rel=\"noopener\">McKinsey paper<\/a> reports that the more mature and larger the company, the more intensive the M&amp;A program.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Medical-technology companies rely on M&amp;A strategy for growth.<\/p>\n","protected":false},"author":2,"featured_media":15555,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[53],"tags":[643,644,645],"class_list":["post-15554","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-opinion","tag-healthy-business","tag-medical-technology-company","tag-the-healthy-business-model"],"_links":{"self":[{"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/posts\/15554","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/comments?post=15554"}],"version-history":[{"count":2,"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/posts\/15554\/revisions"}],"predecessor-version":[{"id":15558,"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/posts\/15554\/revisions\/15558"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/media\/15555"}],"wp:attachment":[{"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/media?parent=15554"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/categories?post=15554"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/servidor-mxigen1.com\/ceona-antiguo\/wp-json\/wp\/v2\/tags?post=15554"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}