Ep 36: Why Hospitals Are Selling Profitable Labs to Survive
Manage episode 498461013 series 3635820
Summary
Guest: Melissa Butterworth, CEO of Advanced Strategic Partners
Overview: Hospitals are under extreme financial pressure—but what if the answer to their budget woes is sitting right inside their own labs?
In this eye-opening episode, Melissa Butterworth—who’s led over $2.4 billion in lab transactions—joins Bradley to explore the growing trend of health systems divesting lab assets. Together, they unpack:
- Why hospitals are selling even profitable lab outreach operations
- How to accurately assess the real value of a lab business
- What happens post-sale—and how to unlock even more value with AI-powered lab insights.
Chapters:
04:30 Melissa's story: from LabCorp exec to M&A powerhouse
07:20 Why lab outreach programs are being sold off—even with 40%+ margins
10:50 “Compressed value”: What hospital labs are really worth to buyers like LabCorp or Quest
15:40 The rise of AI in lab-driven personalized medicine
17:45 Predicting Alzheimer’s from routine labs? It’s already happening.
17:55 The Role of Labs in Future Healthcare
Key Quote:
“It’s just as hard to play small as it is to play big. So why not go big?” – Bradley Bostic
39 episodes