Warburg Pincus has sold ChartOne Inc. to Healthport, a portfolio company of Abry Partners. No financial terms were disclosed, although an earlier Dow Jones report said the deal was expected to include $150 million in debt financing being arranged by GE Capital and NewStar Financial. ChartOne is a Burlington, Mass.-based provider of medical record workflow solutions.
Marking a significant development in its vision to be a leading provider of technology and strategic solutions for the healthcare industry, HealthPort will acquire its closest competitor, ChartOne, officials announced today.
The transaction was completed on Monday, September 22, 2008. Financial details of the transaction will not be disclosed.
“This acquisition combines the strengths of two industry leaders and creates the widest selection of affordable, quality health information products and services available,” says Patrick J. Haynes III, Chairman of HealthPort.
“As the adaptation of technology continues to gain momentum in the healthcare industry, this announcement strongly positions our company to better provide a full spectrum of solutions that can improve business fundamentals and enhance patient care,” continued Haynes.
“In an increasingly complex and highly regulated environment, healthcare companies need customized electronic systems and technology solutions that address — and improve — their toughest challenges,” says Michael Labedz, President and CEO of HealthPort.
“We are committed to leveraging these benefits for our existing customers and look forward to pursuing new opportunities as the healthcare information technology sector continues to grow and mature,” said Labedz.
Today, the vast majority of healthcare companies still rely on paper-based systems and processes to manage critical information. Over the next decade, however, the industry is widely expected to shift to paperless, electronic technologies that create greater efficiencies while improving patient care.
SEAMLESS TRANSITIONS FOR EMPLOYEES, CLIENTS
With this acquisition, HealthPort has combined revenues of more than $230 million and serves more than 8,000 healthcare facilities across the United States. The company’s headquarters will be located in Alpharetta, Georgia and will be led by HealthPort CEO Michael Labedz.
Meanwhile, members of the ChartOne management team will work with leadership to continue business as usual while also ensuring a smooth transition for all of ChartOne’s employees and clients.
Combined, the company’s key service line products now include:
* Release-of-information “ROI” technology
* Electronic document and medical records management
* Electronic coding services
* Recovery audit contractor “RAC” services
* Revenue cycle management
* Cancer registry services
* Interim health information management and consulting
Future advances in healthcare information technology will enhance these services and generate new solutions. The company’s core and continued focus will remain on access to real-time, online tracking of data, faster turnaround times, and successful transitions to electronic, versus paper, and processing of records.
More information about HealthPort and ChartOne, including a full list of each company’s current offerings, can be found at www.healthport.com and www.chartone.com.
HealthPort combines technology and strategic solutions to continually improve fragmented business processes for the healthcare community. The company’s financial sponsors are the Thurston Group, a private merchant bank located in Chicago and ABRY Partners, a private equity firm located in Boston. The company offers revenue cycle management, electronic medical record, electronic document management, onsite conversion, practice management, release-of-information, and healthcare consulting services. HealthPort is the one-source provider, offering the widest selection of affordable, quality health information products and services in the industry. For more information, visit www.healthport.com or call 800-737-2585.
With over a thousand customers, ChartOne is the leading provider of release-of-information (ROI) services and technology to hospitals nationwide. ChartOne has a long-standing reputation for helping hospitals overcome the inefficiencies of managing paper-based medical records to improve hospital productivity, profitability, and patient care. For more information, visit www.chartone.com or call 888.357.7737.