Health care reform affecting health care investment banking?
IB
(Chimp, 8
Points)
on 9/9/09 at 12:28am
Just curious. What are people's thoughts on how the current proposal for health care reform could affect the future of healthcare investment banking?





I think short term the
I think short term the effect will be mostly in the healthcare IT sector, the plan initially calls for extensive reform in how medical records are kept and transferred among institutions; Essentially forcing HC providers to put most records in electronic format. I-Banks which specialize in IT firms will be in luck as those firms would need a major capital boost to feed the high demand caused by Obama.
As for Pharma and Providers, the plan doesn't "force" any immeadiate changes so the effect will be somewhat minimal for a year or two. However, for an industry that weathered the recession pretty well, Healthcare IB is looking to be a key aspect of most major IBs.