Steven Richards

Thank you for the kind words, Scott. It's nice to be with you today. First and foremost, I want to thank you for the opportunity. You've done so much for the healthcare industry, broadly speaking, so it's a pleasure to be here with you today. I don't know if the Hoosiers are ever going to come back to prominence, but we are waiting with bated breath now that we have a new basketball coach.

Thank you for the kind words, Scott. It's nice to be with you today. First and foremost, I want to thank you for the opportunity. You've done so much for the healthcare industry, broadly speaking, so it's a pleasure to be here with you today. I don't know if the Hoosiers are ever going to come back to prominence, but we are waiting with bated breath now that we have a new basketball coach.

We kind of became a football school this year, right? So we'll see how things go.

We kind of became a football school this year, right? So we'll see how things go.

sort of slowed down to a pace that no one was really used to and it was uncomfortable for most. And amidst an increasing interest rate environment or unfavorable interest rate environment, we saw hold periods that have extended to record highs and record lows with return capital to LPs. And I think what we had all hoped

sort of slowed down to a pace that no one was really used to and it was uncomfortable for most. And amidst an increasing interest rate environment or unfavorable interest rate environment, we saw hold periods that have extended to record highs and record lows with return capital to LPs. And I think what we had all hoped

after 2024, where we did see an uptick across deal value and volumes, generally speaking, we thought that 2025 was going to come off to a faster start. So I think we've really kind of not had the start that we'd hoped for in 2025. And I think there's a few reasons for that.

after 2024, where we did see an uptick across deal value and volumes, generally speaking, we thought that 2025 was going to come off to a faster start. So I think we've really kind of not had the start that we'd hoped for in 2025. And I think there's a few reasons for that.

You know, there's some policy changes that are abound in Washington, and that's creating some uncertainty, whether it be with tariffs or reimbursement policy and things of that nature that are just causing some pause. We've also had more regulatory oversight

You know, there's some policy changes that are abound in Washington, and that's creating some uncertainty, whether it be with tariffs or reimbursement policy and things of that nature that are just causing some pause. We've also had more regulatory oversight

with private equity involvement into provider services businesses and we've had much more regulatory oversight at the state level so there's been a lot of dust that has needed to settle and i think a lot of that did happen last year and now i think what we're seeing is we're dealing with some uncertainty with with tariffs and you know cost of capital inflation and really what that's causing is

with private equity involvement into provider services businesses and we've had much more regulatory oversight at the state level so there's been a lot of dust that has needed to settle and i think a lot of that did happen last year and now i think what we're seeing is we're dealing with some uncertainty with with tariffs and you know cost of capital inflation and really what that's causing is

more of a flight to quality. And the A plus assets are trading and folks are paying out the nose for those assets. But that's setting some unrealistic expectations for the B plus assets because the bid ask spread remains very wide.

more of a flight to quality. And the A plus assets are trading and folks are paying out the nose for those assets. But that's setting some unrealistic expectations for the B plus assets because the bid ask spread remains very wide.

And so when you have unrealistic expectations, what happens is the deals kind of pull to the right, the deals get extended or timelines get extended, sometimes fail altogether. And I think that Many times, whether you're an entrepreneur or you're a private equity seller, nobody wants to be the guinea pig and run the risk of a failed process or the well being poisoned, so to speak.

And so when you have unrealistic expectations, what happens is the deals kind of pull to the right, the deals get extended or timelines get extended, sometimes fail altogether. And I think that Many times, whether you're an entrepreneur or you're a private equity seller, nobody wants to be the guinea pig and run the risk of a failed process or the well being poisoned, so to speak.

So you see really a slowdown. And if you're not ready to bring an A-plus asset out to market, I think that a lot of folks have elected to look to the continuation vehicle as an option or just hold for longer periods.

So you see really a slowdown. And if you're not ready to bring an A-plus asset out to market, I think that a lot of folks have elected to look to the continuation vehicle as an option or just hold for longer periods.

That's always a concern for me. And I think that in some cases, it's a strategy for buyers to hold very firm on their bids and in the hopes that the deal will come back to them. And once it does, the perception is, well, you've got a busted process and

That's always a concern for me. And I think that in some cases, it's a strategy for buyers to hold very firm on their bids and in the hopes that the deal will come back to them. And once it does, the perception is, well, you've got a busted process and