New Report Shows Sharp Growth of Private Equity Investment in Healthcare

Healthcare, B2B, and Information Technology received over two thirds of private equity investment in Q1 2017

WASHINGTON – Private equity invested $132 billion into the U.S. economy during the first quarter of 2017, according to the American Investment Council’s (AIC) 2017 Q1 Industry Investment Report, released today.

Business Products and Services (B2B) received $35 billion in private equity investment in Q1, followed closely by Healthcare and Information Technology, which attracted $29 billion and $26 billion worth of investment, respectively.

“In a positive sign for the economy, private equity funds continue to support sectors critical to sustained growth,” said AIC President and CEO Mike Sommers. “The industry’s investment helps American businesses thrive and promises strong returns for our retirees, public servants, and university endowments.”

Healthcare investment rose sharply from $17 billion in Q4 2016 to $29 billion in Q1 2017, which is the highest level seen since 2011. The total number of health care deals was comparable to 2016 levels. The report also shows that investment volumes and the number of deals in Consumer Products and Services (B2C), Financial Services, and Materials & Resources dipped compared to Q4, but remain in line with historical averages.

“With $132 billion in Q1 investments, private equity firms have continued to deploy capital in a competitive environment,” said AIC Vice President of Research and Investor Relations Bronwyn Bailey. “While dry powder is at record highs, year-over-year private equity investment remains robust.”

Read the full report here.

About the American Investment Council

The American Investment Council (AIC) is an advocacy and resource organization established to develop and provide information about the private investment industry and its contributions to the long-term growth of the U.S. economy and retirement security of American workers. Member firms of the AIC consist of the country’s leading private equity and growth capital firms united by their successful partnerships with limited partners and American businesses. More information about the AIC can be found at