Revenue cycle management company mergers and acquisitions are off to a quick start in 2024, with four deals announced or completed so far in January.
1. R1 RCM completed its acquisition of revenue cycle management company Acclara from Renton, Wash.-based Providence on Jan. 17.
Upon closing, R1 RCM began a 10-year agreement to provide comprehensive RCM services for Providence. R1 expects the acquisition and partnership with Providence to contribute more than $625 million in revenue and approximately $185 million to adjusted EBITDA by year five of the partnership, not including potential revenue synergies.
2. Elevate Patient Financial Solutions acquired Professional Medical Services, according to a Jan. 9 news release.
Professional Medical Services focuses on low-balance accounts receivable resolution, according to the release. ElevatePFS CEO Michael Shea said in the release that "low-balance receivables represent a major pain point for hospitals and health systems, who often lack the technical capabilities and resources to resolve these accounts effectively."
"We see tremendous opportunity to leverage Professional Medical Services’ low-balance accounts receivable capabilities to support our existing customers and improve their cash collections," Mr. Shea said.
3. Ventra Heath and Advocate RCM announced Jan. 8 that they were combining. Advocate RCM, which provides RCM services for radiology and other facility-based physician specialties, will operate as a division of Ventra.
"As facility-based physicians navigate increasingly complex reimbursement landscapes, we partner with them to manage and understand reimbursement and to deliver exceptional and consistent performance outcomes," Ventra Health CEO Steven Huddleston said. "Ventra's growing RCM capabilities will help ensure that our clients are paid fully and on time for the services they provide to their patients."
4. Software company N. Harris Computer Corporation announced Jan. 8 that it acquired EHR company Medhost. The acquisition includes Medteam Solutions, which provides application, revenue cycle, IT and security management services. Harris will continue to operate Medhost as a stand-alone business.