HealthStream acquires Baptist Leadership Group

HealthStream has purchased Baptist Leadership Group, the consulting practice of Pensacola, Fla.-based Baptist Health Care.

Nashville-based HealthStream provides healthcare organizations with benchmarking reports and an associated mobile application that helps them compare their patient feedback with that of other organizations (the patient data comes from the Hospital Consumer Assessment of Healthcare Providers and Systems survey). The company also has a suite of products to assist organizations in improving patient experience through employee training, talent management, performance assessment and simulation-based education programs.

The acquisition is expected to enhance these already existing products and services with the addition of Baptist Leadership Group's assessment tools, training curricula and coaches of best practices.

“We are excited to add BLG's impressive products and services to our patient experience solution as we work together to help healthcare organizations attain patient-centered performance excellence,” HealthStream CEO Robert Frist Jr., said in a news release. “BLG adds an important component to our overall strategy for our patient experience solution as we believe that improving the quality of patient care and, in turn, patient experience is linked to supporting the people who deliver care.”

HealthStream paid approximately $8.5 million—$8 million in cash and $500,000 in HealthStream common stock—for substantially all of Baptist Leadership Group's assets. For the first half of 2013, HealthStream's revenue was $61.6 million, up 24% from $49.5 million in the prior year period. HealthStream's net income for the first six months of 2013 was $4.4 million, up 16% from $3.8 million for the first six months of 2012.

Follow Rachel Landen on Twitter: @MHrlanden