Pamplona Capital Management is pleased to announce that it has completed the acquisition of MedAssets, a leading healthcare performance improvement company that serves four out of every five hospitals in the United States. As a result of the transaction, MedAssets stock will stop trading at the close of business today.
“Completing the acquisition of MedAssets marks an important step in our strategy to build a national leader in the fully-outsourced end-to-end revenue cycle services, technology and education market”.
Pamplona purchased MedAssets for $31.35 per share, which represents a total enterprise value of approximately $2.7 billion. The transaction was overwhelmingly approved by stockholders on January 14, with 99.8% of total votes cast in favor.
Pamplona intends to combine MedAssets’ Revenue Cycle Management (RCM) segment, which currently serves more than 2,700 hospital clients and touches more than $450 billion in gross patient revenue annually, with Precyse, a Pamplona-owned health information management (HIM) services, technology, and education company.
“Completing the acquisition of MedAssets marks an important step in our strategy to build a national leader in the fully-outsourced end-to-end revenue cycle services, technology and education market,” said Jeremy Gelber, M.D., partner at Pamplona Capital Management.
“MedAssets brings tremendous strength in its revenue cycle management capabilities which, when combined with the industry-leading health information management expertise of Precyse, will ideally position the integrated companies to meet the demands of a reimbursement environment that increasingly relies on outsourced solutions to create value.” He added, “We would like to thank the leadership of Precyse and MedAssets for helping us achieve this important closing and for driving the ongoing integration of the two businesses, as well as the employees of Precyse and MedAssets for the continued strong performance of the businesses during this transaction period.”
Separately, Pamplona has entered into an agreement with Vizient, Inc. (formerly VHA-UHC Alliance NewCo, Inc.) to divest MedAssets’ Spend and Clinical Resource Management (SCM) segment to Vizient. That transaction is expected to be completed in mid-February 2016.