Carlyle Group LP, an investment firm, has recently announced its intention to purchase the health and fitness technology agency, Cotiviti, for $15 billion. The negotiations for this purchase have been ongoing for weeks and are expected to be finalized soon.
Cotiviti is a technology agency that specializes in improving accuracy for medical claims, such as ensuring that patients obtain the correct amount of reimbursement from their health care providers. In addition, their technology platform, REACH, provides analytics to evaluate financial and performance data to assist providers in controlling costs and increasing profitability.
The deal is expected to benefit Carlyle as they look to expand their presence in the healthcare industry. Along with the purchase of Cotiviti, Carlyle is also in talks to purchase a minority stake in the healthcare data analytics company Emaar, which could increase Carlyle’s access to additional healthcare data capabilities.
In a statement to Reuters, Carlyle’s representatives said, “We’re thrilled to be in advanced discussions with the teams at Cotiviti and Emaar to increase our presence and capabilities in the healthcare sector.”
In a separate statement, Michael Dauber, the chief executive officer of Cotiviti, said, “We’re thrilled to be part of Carlyle, one of the world’s most respected and well-known investment firms.”
If the acquisition is successful, it is expected to be one of the largest healthcare technology deals in recent years. It will allow Carlyle to further extend their reach within the health care industry, incorporating technology and data to better serve their clients and increase efficiency.
Carlyle in talks to purchase health and fitness tech organization Cotiviti for $15 bln … Reuters