Francisco Partners has agreed to buy Woburn, Massachusetts-based HealthcareSource, a talent management solutions provider for healthcare. No financial terms were disclosed. William Blair & Company provided financial advice to HealthcareSource on the transaction. HealthcareSource was backed by Insight Venture Partners.
SAN FRANCISCO, CA and WOBURN, MA – April 28, 2015 — Francisco Partners, a global technology-focused private equity firm, announced it has signed a definitive agreement to acquire HealthcareSource, the leading provider of talent management solutions for healthcare. The transaction is expected to close within approximately 30 days, following satisfaction of customary conditions. President and CEO Peter Segall will continue to lead HealthcareSource following the transaction.
“HealthcareSource has established an impressive leadership position in the important and growing healthcare talent management market,” said Ezra Perlman, partner at Francisco Partners. “The company has real momentum, increasing its customer base from 1,000 to 2,500 healthcare clients and demonstrating an ability to capitalize on growing demand for talent solutions in the healthcare sector. We see tremendous potential for HealthcareSource and look forward to supporting its continued growth.”
“We chose Francisco Partners because of the firm’s deep expertise in healthcare IT and the significant resources that will fuel HealthcareSource’s future growth,” said Peter Segall, president and CEO of HealthcareSource. “Our clients’ needs are complex and require sophisticated solutions across the entire spectrum of talent management. This transaction will accelerate our investment in both internal development and future acquisitions to meet this market need.”
“We have been fortunate to work with a committed executive team and be part of this success story,” said Jeff Lieberman, managing director at Insight Venture Partners, who was the majority owner of HealthcareSource. “We share in the team’s excitement and believe that they will continue to deliver growth and high customer value given the market opportunity and the company’s differentiation. “
HealthcareSource’s comprehensive suite of solutions includes applicant tracking, behavioral assessments, employee performance, compensation, learning management and eLearning courseware. Designed specifically for the healthcare industry, HealthcareSource helps organizations recruit and retain the best workforce possible in order to reduce costs and improve patient experience.
HealthcareSource was advised by William Blair & Company (Financial) and Willkie Farr & Gallagher LLP (Legal).
Financial terms of the transaction were not disclosed.
With more than 2,500 healthcare clients, HealthcareSource is the leading provider of talent management solutions for the healthcare industry. The HealthcareSource Quality Talent SuiteSM helps healthcare organizations recruit, develop, and retain the best workforce possible in order to improve the patient and resident experience. The company’s cloud-based talent management solutions include applicant tracking, behavioral assessments, reference checking, employee performance, compensation, competency and learning management, and eLearning courseware. A private company focused exclusively on the healthcare industry, HealthcareSource consistently earns high marks for client satisfaction and retention. HealthcareSource has been regularly ranked as a leader by KLAS Research for Talent Management, in addition to recognition in Healthcare Informatics 100, Modern Healthcare’s “Healthcare’s Hottest,” Inc. 500|5000, Deloitte Technology Fast 500, and Becker’s “150 Great Places to Work in Healthcare” list. To learn more about HealthcareSource visit: www.healthcaresource.com.
About Francisco Partners
Francisco Partners is a global private equity firm that specializes in investments in technology companies. Since its launch fifteen years ago, FP has raised approximately $10 billion in committed capital and invested in more than 150 technology companies, making it one of the most active investors in the industry. The firm invests in transaction values ranging from $50 million to over $2 billion, where the firm’s deep sub-sector knowledge and operational expertise can help a company realize its full potential.
About Insight Venture Partners
Insight Venture Partners is a leading global venture capital and private equity firm investing in high-growth technology and software companies that are driving transformative change in their industries. Founded in 1995, Insight has raised more than $10 billion and invested in more than 200 companies worldwide. Our mission is to find, fund and work successfully with visionary executives providing them with practical, hands-on growth expertise to foster long-term success. For more information on Insight and all of its investments, visit www.insightpartners.com or follow us on twitter: @insightpartners