Nashville, Tennessee-based patient engagement and payment technology company RevSpring has found itself with new investor ownership that promises to ramp up the business.
Private equity firm GTCR announced Monday that it sold the company to Frazier Healthcare Partners, another private equity firm that focuses its portfolio exclusively within the healthcare industry. It was joined in the acquisition by venture capital firm New Enterprise Associates, private investment firm 22C Capital and RevSpring’s senior leadership team.
Financial terms of the deal were not disclosed.
"We are proud of the growth and the significant momentum we’ve experienced to date,” RevSpring CEO Scott MacKenzie said in a release. “Partnering with a firm of Frazier’s reputation positions us well to continue to invest in leading solutions that deliver strong outcomes and ROI for our clients."
RevSpring’s end-to-end platform sends 1.5 billion communications and processes more than $8 billion of payments annually for its healthcare and financial services customers. It was formed in 2012 through the merger of PSC and DANTOM and appointed MacKenzie in 2019.
The company was acquired by GTCR in late 2016 alongside a $400 million equity capital commitment for its platform. At the time, RevSpring highlighted its client base of roughly 2,000 health systems and hospitals, revenue cycle management providers and financial services organizations.
Collin Roche, GTCR co-CEO and managing director, said his firm is “proud” of its work building up RevSpring’s business through a combination of product development, technology investment and strategic acquisitions. His firm’s announcement highlighted product innovations and patient engagement suite expansions that helped RevSpring achieve “sustained record revenue growth” under MacKenzie’s tenure.
"We want to thank [MacKenzie] and the management team for their partnership over the years and wish them the best on their next phase of growth," Roche said.
Frazier’s announcement, meanwhile, outlined the investor’s plan to inject more resources into RevSpring’s business.
"GTCR and RevSpring built a strong, rapidly growing Company, and we look forward to bringing additional resources to accelerate and enhance RevSpring’s offerings,” Christina Reszka, partner at Frazier, said.
Among the resources Frazier will bring to the table are “the expertise of Frazier’s Executive in Residence Roger Davis, who will become executive chairman of the Board, as well as support from several of its senior advisors and members of its Center of Excellence,” Reszka said.