Radiology revenue cycle management firm Advocate RCM on Monday announced plans to merge with private equity-backed Ventra Health.
Based in Dallas, Ventra offers similar business solutions to facility-based physicians, specializing in anesthesia, emergency care and hospital medicine. The company has sought to branch out into imaging and decided to do so via M&A.
“Expanding our offering to include comprehensive radiology RCM services has been a strategic priority for Ventra,” CEO Steven Huddleston said in Jan. 8 announcement. “With Advocate RCM, Ventra gains a trusted partner to independent radiology practices, facility-based groups and large national providers, with a reputation for providing best-in-class technology solutions, industry-leading performance results and customized client experience.”
Advocate RCM is based in Dublin, Ohio, and was founded in 1998. Under terms of the deal, it will become a division of Ventra, with Advocate’s leadership maintaining their roles after the merger. Combining the two companies will create one of the industry’s largest providers of end-to-end revenue cycle management services, those involved claim.
Ventra Health is a portfolio company of private equity firm Varsity Healthcare Partners, which has offices in Chicago, Los Angeles and Stamford, Connecticut. Baird served as financial advisor to both Varsity and Ventra on the transaction, while Lincoln International counseled Advocate RCM and Talisman Capital Partners. The latter is the private investment company of the Walter family, which partnered with Advocate RCM in 2017.
Marty Stempniak has covered healthcare since 2012, with his byline appearing in the American Hospital Association's member magazine, Modern Healthcare and McKnight's. Prior to that, he wrote about village government and local business for his hometown newspaper in Oak Park, Illinois. He won a Peter Lisagor and Gold EXCEL awards in 2017 for his coverage of the opioid epidemic.