Why Private Equity is Pouring Billions Into Healthcare

Dec 2, 2025

Ask episode

Chapters

Transcript

Episode notes

"Success leaves clues. And sometimes that clue is healthy leadership that is just able to take them from plateau to plateau." - Trey Marinello

My guest this week, Trey Marinello of Houlihan Lokey, is an expert in a topic everyone is constantly talking about: Private Equity. Trey joined the show to demystify the world of investment banking and explain exactly why private equity firms are pouring billions of dollars into the employer-sponsored healthcare space.

Trey breaks down the current trends, explaining why PE isn't just about leverage and debt, but about "turning the propeller faster" through distribution expertise and strategic growth. We discuss why categories like TPAs, cost containment, and innovative funding models are red-hot, while "wellness" and "population health" have struggled to prove their ROI.

We also explore the potential of AI to revolutionize mental health care, why “ICHRA” is still a wild card, and how smart brokers are becoming essential value-drivers in M&A deals.

Tune in for a masterclass on following the money in healthcare!

Chapters:

(00:00:00) Why Private Equity is Pouring Billions Into Employer Healthcare

(00:00:35) Why Private Equity Loves Healthcare

(00:08:59) What Does an Investment Banker Actually Do?

(00:17:25) How PE Firms Use Distribution to Scale

(00:20:06) Is ICHRA the Future or a Fad?

(00:28:50) The Rise of Alternative Funding

(00:42:34) Why "Wellness" Investments Failed

(00:57:16) How Brokers Drive Enterprise Value

(01:02:47) The Hottest Category in Healthcare M&A

Key Links for Social:

@SelfFunded on YouTube for video versions of the podcast and much more - https://www.youtube.com/@SelfFunded

Listen/watch on Spotify - https://open.spotify.com/show/1TjmrMrkIj0qSmlwAIevKA?si=068a389925474f02

Listen on Apple Podcasts - https://podcasts.apple.com/us/podcast/self-funded-with-spencer/id1566182286

Follow Spencer on LinkedIn - https://www.linkedin.com/in/spencer-smith-self-funded/

Follow Spencer on Instagram - https://www.instagram.com/selffundedwithspencer/