Carlyle-backed CorroHealth buys ParaRev

CorroHealth, which is backed by The Carlyle Group, has acquired ParaRev, a provider of healthcare accounts receivable recovery and resolution management solutions. No financial terms were disclosed. Lincoln International served as financial advisor to ParaRev on the deal. ParaRev is backed by Housatonic Partners.

PRESS RELEASE

CHICAGO–(BUSINESS WIRE)–ParaRev, a leader in healthcare accounts receivable (AR) recovery and resolution management, has joined CorroHealth. Backed by Housatonic Partners, a San Francisco and Boston-based private equity firm, ParaRev was acquired by CorroHealth, backed by The Carlyle Group, to expand targeted RCM service offerings to the market.

ParaRev offers healthcare revenue cycle management services, from front-end charge master analysis and contract management to end-of-cycle zero-balance underpayment and denial recovery. The combination of the two companies is highly synergistic in terms of service offerings, customer base and overall strategic vision.

Jerry Connelly, CEO of ParaRev, commented, “We see major opportunities for synergy and convergence in joining CorroHealth, given there is no overlap between our two companies’ services,” Connelly said. “I’m pleased our existing clients will now be able to benefit from the combined strengths of the two companies.”

Pat Leonard, CEO of CorroHealth, stated, “The ParaRev team has excelled in taking on and delivering in several niche areas in the RCM space. These areas are typically overlooked by the various vendors in the space.” Leonard continued, “Focusing on these often-ignored opportunities including zero-balance underpayments and denial recovery will be a valued offering for the clients we serve.”

Lincoln International served as exclusive financial advisor to ParaRev in the transaction.

About ParaRev
ParaRev, a leader in accounts receivable recovery and resolution, works as a virtual extension in hospital’s central billing office to help them resolve and collect more of their insurance accounts receivables faster and improve operating margins through a seamless and collaborative partnership with their internal team. The company’s comprehensive services also include a pricing transparency solution, which can help hospital improve revenue capture while remaining competitive in their market. For more information, please visit www.pararevenue.com