Veritas Capital has announced that an affiliate of Veritas has completed its acquisition of GE Healthcare’s Enterprise Financial Management (Revenue-Cycle, Centricity Business), Ambulatory Care Management (Centricity Practice Solution) and Workforce Management (formerly API Healthcare) assets for $1.05 billion in cash. This follows the announcement of the agreement between Veritas and GE on April 2, 2018.
The Enterprise Financial, Ambulatory Care and Workforce Management businesses will operate as a standalone company.
“Today marks the beginning of an exciting chapter, and we look forward to supporting the leadership team’s pursuit of the growth opportunities ahead,” said Ramzi Musallam, CEO and Managing Partner of Veritas Capital. “The healthcare technology space has been a key focus area for Veritas, and we believe we can support a transformation of this business by enhancing customer benefits, improving efficiencies, and supporting the development of innovative products and services.”
“We believe this platform is well-positioned in a dynamic market, and we are excited by the opportunity to unlock potential and grow as a standalone business,” said Jon Zimmerman, President, Value-Based Care. “By prioritizing investments in the people, innovative products and technology necessary to drive value and meet the complex needs of a diverse customer base, we believe we can accelerate growth while playing a leading role in the digitalizing of the health care system.”
“We are confident this business will thrive with a focused investment strategy under Veritas Capital,” said Kieran Murphy, President & CEO of GE Healthcare. “GE Healthcare will continue to make investments that deliver leading outcomes for our customers and grow the areas of our business that align to our vision of enabling precision health. Digital is at the heart of this vision.”
GE Healthcare will continue to invest significantly in digital solutions that enable precision health for customers, across diagnostics, therapeutics and monitoring. These include: enterprise imaging, connected machines, smart diagnostics, artificial intelligence (AI), advanced analytics, command centers and algorithms that improve not only the accuracy of medical diagnosis, but also the efficiency of providers, the personalization of treatment and the overall quality of care.
Morgan Stanley and Keval Health acted as financial advisors to GE in the transaction. Goldman, Sachs & Co. and William Blair & Company were financial advisors, and Schulte Roth & Zabel LLP served as legal counsel, to Veritas Capital in the transaction.