FTV Capital Portfolio Company MedSynergies Acquired by Optum
October 28, 2014, San Francisco, CA — FTV is extremely pleased to announce the sale of FTV I and FTV II portfolio company MedSynergies to Optum, a leading information and technology-enabled health services business and part of UnitedHealth Group (NYSE: UNH). Financial terms were not publicly disclosed, however this transaction generated a substantial return for our investors.
MedSynergies partners with health care organizations and physicians to align their operations by providing revenue cycle management, practice management, consulting services, business process analysis and software integration solutions.
As control investor since 2004, FTV played an active role in helping MedSynergies capitalize on the rapidly evolving and growing business needs of the healthcare industry. In addition to working with management on strategy expansion and execution, FTV assisted in key business development activities and in senior management retention and recruitment. Richard Garman, Chris Winship and Christopher Tan served on the MedSynergies board of directors.
We are excited about MedSynergies’ future as an integral part of Optum, and we wish the entire MedSynergies team the very best, as they continue to transform the business side of healthcare.
Full press release below:
Optum to Acquire MedSynergies to Help Physician Groups Enhance Patient Care, Improve Practice Performance
- Combination brings additional, innovative practice management capabilities to Optum’s leading clinical services and analytic tools
- Establishes Optum’s end-to-end capabilities, addressing the most complex requirements across clinic, ambulatory and acute care settings
September 30, 2014, Eden Prairie, Minn and Irving, TX — Optum, a leading information and technology-enabled health services business, today announced it has entered into a definitive agreement to acquire MedSynergies, Inc., which provides physician practice management, revenue management, physician referral management and other business services to physician groups aligned with large health systems, serving more than 9,300 care providers across the U.S. The transaction is subject to regulatory approval and other customary closing conditions.
MedSynergies will provide Optum with innovative physician practice management capabilities that complement and advance the company’s focus on helping care providers improve patient care and outcomes, and reduce health care costs. In addition, MedSynergies’ proven revenue cycle management capabilities for physician practices will build upon Optum’s leading revenue management solutions for large hospitals and health systems. The combination will enable care providers across the care spectrum to improve financial performance, deliver better patient experiences and grow their practices.
“MedSynergies is a proven innovator in helping physician practices improve performance, and shares our commitment to supporting care providers in continually elevating the quality of patient care in the communities they serve,” said Larry Renfro, chief executive officer, Optum. “This relationship will position Optum to be an even stronger, more valued partner to care providers as they evolve, adapt and pursue new opportunities in a changing environment.”
Using Optum’s existing relationships and expertise, MedSynergies will enhance its services for large health systems across the country by providing deeper, more customized solutions that help their physician practices manage patient panels and perform targeted patient outreach. Through this partnership, Optum will be uniquely positioned to integrate revenue management services, clinical analytics and clinical workflow tools to serve the needs of large, sophisticated health systems and their employed and affiliated physicians. In addition, Optum’s industry-leading analytic capabilities can help physicians better understand their patients through precise metrics, allowing them to focus care to affect positive patient outcomes.
“MedSynergies’ strong leadership team and creative, execution-focused employees have built an innovative, scalable technology platform and driven strong, profitable growth by providing distinctive financial results for large, sophisticated integrated health systems like Catholic Health Initiatives and Texas Health Resources,” Renfro added. “MedSynergies’ capabilities fill out our revenue management offerings and enable us to now serve care providers across their care continuum from ambulatory and outpatient through inpatient and critical care services.”
“Optum has a strong vision of a better future for health care, and by joining together, we will be even better positioned to achieve that vision and help our care provider clients and partners successfully transform to meet the changing needs of their patients, communities and practices,” said J. R. Thomas, chief executive officer, MedSynergies.
Optum is a leading information and technology-enabled health services business dedicated to helping make the health system work better for everyone. With approximately 65,000 people worldwide, Optum delivers intelligent, integrated solutions that help to modernize the health system and improve overall population health. Optum is part of UnitedHealth Group (NYSE:UNH).
MedSynergies partners with health care organizations and physicians to align their operations by providing revenue cycle management, practice management, consulting services, business process analysis and software integration solutions. Leveraging its knowledge and experience in hospital-physician alignment, MedSynergies improves processes, optimizes technology and builds on trusted patient relationships, enabling hospitals and physician practices to offer quality health care. Founded in 1996, MedSynergies is privately held and headquartered in Irving, Texas. MedSynergies currently partners with hospitals and health networks and serves more than 9,300 providers across the United States. For more information, please visit www.MedSynergies.com.
About FTV Capital
FTV Capital is a growth equity investment firm that has raised over $1.8 billion since inception to invest in high-growth companies offering a range of innovative solutions in four sectors: business services, financial services, payments/transaction processing and technology. FTV’s experienced team leverages its domain expertise and proven track record in each of these sectors to help motivated management teams accelerate growth. FTV also provides companies with access to its Global Partner Network, a group of the world’s leading enterprises and executives who have helped FTV portfolio companies for more than a decade. Founded in 1998, FTV Capital has invested in 82 portfolio companies and has offices in San Francisco and New York. For more information, please visit ftvcapital.com.
Karen Derr Gilbert