FNFV Group, Fidelity National Financial’s investment arm, has agreed to acquire Dallas-based T-System, a healthcare IT company, for $200 million in cash. The seller is Francisco Partners.
DALLAS–(BUSINESS WIRE)–T-System, Inc. today announced it has signed a definitive agreement to be acquired by FNFV Group (NYSE: FNFV), the investment arm of Fidelity National Financial, Inc., a Fortune 500 financial services firm. T-System is the first healthcare technology investment for FNFV, which is slated to pay $200 million in cash for T-System.
The transaction creates significant new opportunities for T-System and its customers, employees and vendor partners.
“We are very excited about this transaction because it defines a path for us to further improve and expand the products and services we offer to current customers and to the entire healthcare marketplace,” said Roger Davis, president and CEO of T-System. “This is an incredibly positive development for the healthcare providers and patients that we serve. With the financial backing and stability of a Fortune 500 company, we can accelerate innovation, performance and growth in our current markets while also having strength and flexibility to serve broader segments of healthcare via an aggressive inorganic growth strategy.”
The chairman of Fidelity National Financial, Inc. echoed Davis’ view of the transaction.
“T-System is a great company with an experienced management team, and we expect this to be a great acquisition that will generate significant future value for our shareholders,” said William P. Foley II, chairman of Fidelity National Financial, Inc. “We believe that the company is at an inflection point with a significant near-term organic growth opportunity. We are also confident that we can assist T-System in making multiple acquisitions that can accelerate future growth and further expand the products and services that the company offers to its customers.”
About Fidelity National Financial, Inc.
Fidelity National Financial, Inc. is organized into two groups, FNF Group (NYSE: FNF) and FNFV Group (NYSE: FNFV). FNF is a leading provider of title insurance, technology and transaction services to the real estate and mortgage industries. FNF is the nation’s largest title insurance company through its title insurance underwriters – Fidelity National Title, Chicago Title, Commonwealth Land Title, Alamo Title and National Title of New York – that collectively issue more title insurance policies than any other title company in the United States. FNF also provides industry-leading mortgage technology solutions and transaction services, including MSP®, the leading residential mortgage servicing technology platform in the U.S., through its majority-owned subsidiaries, Black Knight Financial Services and ServiceLink Holdings. FNFV holds majority and minority equity investment stakes in a number of entities, including American Blue Ribbon Holdings, LLC, Ceridian HCM, Inc. and Del Frisco’s Restaurant Group, Inc. More information about FNF and FNFV can be found at www.fnf.com.
T-System is a healthcare IT company that advances care delivery and financial outcomes for episodic care. Specializing in emergency department documentation since 1996, T-System has since expanded its focus to include the development of innovative solutions for the rapidly expanding episode-based care market, including hospital-based emergency departments (EDs), freestanding emergency centers and urgent care centers. Through clinically-driven services and documentation solutions as well as charge capture and coding solutions, T-System solves clinical, financial and operational challenges for our clients. About 40 percent of the nation’s hospital-based EDs, freestanding emergency centers and urgent care centers use T-System to improve the clinical encounter, including the documentation of the patient visit as well as the downstream outcomes related to that event. For additional information about T-System, please visit www.tsystem.com.