Veritas Capital has closed its previously announced acquisition of GE Healthcare‘s enterprise financial management, ambulatory care management and workforce management assets. The price of the acquisition was $1.05 billion in cash. Morgan Stanley and Keval Health acted as financial advisers to GE on the deal while Goldman Sachs and William Blair & Company did likewise for Veritas.
CHICAGO–(BUSINESS WIRE)–Veritas Capital (“Veritas”), a leading private equity investment firm, and General Electric (NYSE:GE), today announced that an affiliate of Veritas has completed its acquisition of GE Healthcare’s Enterprise Financial Management (Revenue-Cycle, Centricity Business), Ambulatory Care Management (Centricity Practice Solution) and Workforce Management (formerly API Healthcare) assets for $1.05 billion in cash. This follows the announcement of the agreement between Veritas and GE on April 2, 2018.
The Enterprise Financial, Ambulatory Care and Workforce Management businesses will operate as a standalone company.
“Today marks the beginning of an exciting chapter, and we look forward to supporting the leadership team’s pursuit of the growth opportunities ahead,” said Ramzi Musallam, CEO and Managing Partner of Veritas Capital. “The healthcare technology space has been a key focus area for Veritas, and we believe we can support a transformation of this business by enhancing customer benefits, improving efficiencies, and supporting the development of innovative products and services.”
“We believe this platform is well-positioned in a dynamic market, and we are excited by the opportunity to unlock potential and grow as a standalone business,” said Jon Zimmerman, President, Value-Based Care. “By prioritizing investments in the people, innovative products and technology necessary to drive value and meet the complex needs of a diverse customer base, we believe we can accelerate growth while playing a leading role in the digitalizing of the healthcare system.”
“We are confident this business will thrive with a focused investment strategy under Veritas Capital,” said Kieran Murphy, President & CEO of GE Healthcare. “GE Healthcare will continue to make investments that deliver leading outcomes for our customers and grow the areas of our business that align to our vision of enabling precision health. Digital is at the heart of this vision.”
GE Healthcare will continue to invest significantly in digital solutions that enable precision health for customers, across diagnostics, therapeutics and monitoring. These include: enterprise imaging, connected machines, smart diagnostics, artificial intelligence (AI), advanced analytics, command centers and algorithms that improve not only the accuracy of medical diagnosis, but also the efficiency of providers, the personalization of treatment and the overall quality of care.
Morgan Stanley and Keval Health acted as financial advisors to GE in the transaction. Goldman, Sachs & Co. and William Blair & Company were financial advisors, and Schulte Roth & Zabel LLP served as legal counsel, to Veritas Capital in the transaction.
About Veritas Capital
Veritas Capital is a leading private equity firm that invests in companies that provide critical products and services, primarily technology and technology-enabled solutions, to government and commercial customers worldwide, including those operating in the aerospace & defense, healthcare, technology, national security, communications, energy, government services and education industries. Veritas seeks to create value by strategically transforming the companies in which it invests through organic and inorganic means.
For more information on Veritas Capital and its current and past investments, visit www.veritascapital.com.
About GE Healthcare
Harnessing data and analytics across hardware, software and biotech, GE Healthcare is the $19 billion healthcare business of GE (NYSE:GE). As a leading provider of medical imaging equipment, with a track record of more than 100 years in the industry and more than 50,000 employees across 100 countries, we transform healthcare by delivering better outcomes for providers and patients. Follow us on Facebook, LinkedIn, Twitter and The Pulse for latest news. For more information about GE Healthcare, visit our website at www.gehealthcare.com.