Netsmart plans to acquire Change Healthcare home care, hospice products
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Behavioral health information technology company Netsmart on Friday unveiled its plans to acquire revenue cycle and analytics firm Change Healthcare's home care and hospice products.
The acquisition would give Overland Park, Kan.-based Netsmart "deep domain knowledge," Netsmart CEO Mike Valentine wrote in a news release. The company specializes in electronic health records, health information exchange and analytics.
"Over the last two years, Netsmart has taken significant, yet deliberate, steps to uniquely position our clients for success in the evolving healthcare ecosystem as the value-based care models take shape and narrower networks impact home care," Valentine said.
Nashville-based Change, formerly McKesson Homecare and McKesson Hospice, offers suites of software applications that Netsmart says increase clinician satisfaction and free up time to focus on patient care. Netsmart plans to integrate those programs with its own so clients can use its health information exchange, analytics, referral management and mobility products. Netsmart said Change's financial solutions ensure documentation compliance and shorten revenue cycle times.
Netsmart is the healthcare industry's largest post-acute, behavioral health and social services IT provider. The company secured that position two years ago when Allscripts Healthcare Solutions merged its 30,000-client home care software business with Netsmart's then-23,000 clients. Today, Netsmart has more than 600,000 users in more than 25,000 organizations across the U.S. Netsmart integrated its behavioral health electronic records with Allscripts' EHRs in 2014.
Change has been on its own path of growth for decades. Drug distributor McKesson Corp. offloaded most of its technology business to Change in a multibillion-dollar deal last year.
Netsmart and Change have signed a definitive agreement and expect the deal to close in the second quarter of 2018, subject to conditions that include a waiting period under U.S. antitrust laws. Netsmart spokeswoman Kelli Christman declined to disclose the deal's price.
Netsmart says it has made more than 1 million connections through its network, with more than 1,300 connected labs and more than 10 million clinical transactions annually.
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