While we may pursue an acquisition opportunity in any business industry or sector, given the operational experience of our management team in the healthcare services sector, we believe we are well-positioned to capitalize on key trends and opportunities in the world of healthcare. Members of our management team and proposed board of directors have extensive experience in the space, including acting as the Chief Executive Officer of one of the largest healthcare staffing firms in the U.S. (based on 2023 revenue). Several of them have held senior positions and served on the boards of influential and innovative healthcare companies, such as UnitedHealth Group (NYSE: UNH), Lincare Holdings, Inc. (Nasdaq: LNCR), Pediatrix Medical Group (NYSE: MD), OptumCare and AccentCare.

The healthcare services industry represents a large and growing market with strong secular tailwinds and a broad range of potential business combination targets. According to the Centers for Medicare and Medicaid Services (CMS), total U.S. healthcare expenditures reached approximately $4.5 trillion in 2022, up from approximately $3.8 trillion in 2019. CMS has projected that these expenditures will grow at an average annual rate of approximately 5.6% from 2023 through 2032 and reach approximately $7.7 trillion in 2032, and has estimated that total U.S. healthcare spending will constitute approximately 20% of projected U.S. gross domestic product in 2032. We believe that the healthcare services industry will continue to grow significantly due to, among other things, the increased use of innovative technologies designed to improve patient outcomes, drive efficiency in the industry and permit healthcare companies to better control costs while improving access and overall quality of healthcare.