NewSpring completes single-asset process for healthcare IT company Verisma

The deal allowed existing investors like NewSpring, Blue Heron and LPs to cash out, while giving NewSpring more time to grow the business.

NewSpring moved its portfolio company Verisma, a healthcare IT company, out of the firm’s third fund and into a continuation pool. The deal allowed existing investors like NewSpring, Blue Heron and LPs to cash out, while giving NewSpring more time to grow the business. As part of the deal, investors were expected to contribute a slug of capital into NewSpring’s Fund IV, which is in market targeting $175 million.

Press Release

NewSpring (“the Firm”), a family of private equity strategies, announced today that NewSpring Healthcare, the Firm’s dedicated healthcare strategy, has made an investment into Verisma, an industry leader in healthcare disclosure management technology and services. The transaction creates a successful liquidity event for NewSpring, Blue Heron, legacy investors, and limited partners while allowing Verisma to continue to grow its leadership position in the quickly expanding healthcare information technology industry.

This significant investment affords Verisma an accelerated timeline. They will be able to lower barriers for efficient disclosures and stay ahead of market demands, like increased volume and regulation. The additional access to capital will fast-track its ever-advancing technology platform, enhancing the accuracy of disclosure management.

With this recapitalization, structured as a GP-led secondary through a continuation vehicle managed by NewSpring Healthcare, NewSpring is taking advantage of an attractive opportunity to provide a return to existing shareholders while infusing fresh capital into the business with new investors who share the Firm’s strong conviction in Verisma’s potential for continued rapid growth. Triago served as the exclusive Financial Advisor for the transaction.

As part of the transaction, Verisma’s management team remains consistent as well as the Board of Directors, with NewSpring’s Brian G. Murphy continuing to serve as an active Board member.

Post transaction, Matt Plevelich, NewSpring Principal, also joins the Verisma Board of Directors. “I am looking forward to further working with CEO Marty McKenna and the rest of the Verisma management team to support the company’s ongoing growth as they address the critical demand for patient information.”

About NewSpring

NewSpring partners with the innovators, makers, and operators of high-performing companies in dynamic industries to catalyze new growth and seize compelling opportunities. The Firm manages approximately $2.5 billion across five distinct strategies covering the spectrum from growth equity and control buyouts to mezzanine debt. Having invested in over 180 companies, NewSpring brings a wealth of knowledge, experience, and resources to take growing companies to the next level and beyond. Partnering with management teams to help develop their businesses into market leaders, NewSpring identifies opportunities and builds relationships using its network of industry leaders and influencers across a wide array of operational areas and industries. To learn more, visit www.newspringcapital.com.

About Verisma

Verisma is a proven partner with decades of experience supporting large, complex healthcare environments around the country. We process millions of medical requests a year and are committed to serving our partners with technology and support solutions that allow them to manage their business and to deliver an exceptional patient experience. From our technology to our people and our partnerships, we believe our purpose is to protect truth and accuracy. Learn more about our disclosure management system at verisma.com.