CHARLOTTE, N.C., Oct. 1, 2015 (GLOBE NEWSWIRE) -- Premier, Inc. (NASDAQ:PINC), a leading healthcare improvement company, has acquired InflowHealth LLC, a SaaS-based software developer that specializes in improving the operational and financial performance of physician practices.
"Given today's public policy environment, providers have a real need for solutions that can help them better manage the complex world of physician practice economics," said Wes Champion, senior vice president of Premier Performance Partners. "InflowHealth's solution gives physicians unique insights into their financial, operational and strategic performance, allowing them to identify opportunities for improvement and guide practice budgeting and strategic investments. These are central capabilities for managing any successful practice, only growing in importance as physicians start to explore clinically integrated networks and alternative payment models, such as bundled payment and shared savings."
InflowHealth's analytics solution aggregates financial and operational data from thousands of physicians in medical groups across the United States to perform precise calculations that pinpoint exactly where improvements can be made.
InflowHealth President David Olson said, "We've used our years of industry experience to design data-driven tools that effectively capture the extreme nuances of operating physician practices, at the specialty level. These solutions provide a level of depth, transparency and accountability that physicians have not had in the past."
Using this information, physicians can gain clear, unbiased insights into their performance on a range of benchmarked indicators, and conduct deep drill downs into practice capacity, patient volumes, productivity and staffing ratios, revenue cycle performance, patient demographics, referral patterns, and overall compensation.
"Premier has used InflowHealth as a key performance improvement solution in a number of our cost management and clinical integration consulting engagements. Our member health systems have deployed it successfully to better manage key cost and quality performance indicators for their owned physician practices," Champion said. "InflowHealth's capabilities will extend Premier's reach into the ambulatory market, and deepen the holistic ways we address healthcare improvement, providing physician practices with a full picture of performance, as well as actionable intelligence to initiate positive change."
Premier acquired InflowHealth, founded in 2013, for $6.0 million in cash. The business and its employees will become part of the company's Performance Service segment. The acquisition provides selling owners an earn-out opportunity of up to $26.9 million based on InflowHealth's future annual revenues through 2019. The selling owners also received restricted stock units of Premier with an aggregate equity grant value of $2.1 million, with a three-year vesting period.
The acquisition is not expected to have a material impact on Premier's fiscal 2016 financial results.
About Premier, Inc.
Premier Inc. (NASDAQ:PINC) is a leading healthcare improvement company, uniting an alliance of approximately 3,600 U.S. hospitals and 120,000 other providers to transform healthcare. With integrated data and analytics, collaboratives, supply chain solutions, and advisory and other services, Premier enables better care and outcomes at a lower cost. Premier, a Malcolm Baldrige National Quality Award recipient, plays a critical role in the rapidly evolving healthcare industry, collaborating with members to co-develop long-term innovations that reinvent and improve the way care is delivered to patients nationwide. Headquartered in Charlotte, N.C., Premier is passionate about transforming American healthcare. Visit Premier's news and investor sites on premierinc.com for more information.
Forward-looking statements
Statements made in this release that are not statements of historical or current facts, such as those related to Premier's ability to provide enhanced capabilities, products and services, extend its reach into the ambulatory market, the expected financial impact from the acquisition, if any, and future operations and integration matters described herein, are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Premier to be materially different from historical results or from any future results or projections expressed or implied by such forward-looking statements. Accordingly, readers should not place undue reliance on any forward-looking statements. In addition to statements that explicitly describe such risks and uncertainties, readers are urged to consider statements in the conditional or future tenses or that include terms such as "believes," "belief," "expects," "estimates," "intends," "anticipates" or "plans" to be uncertain and forward-looking. Forward-looking statements may include comments as to Premier's beliefs and expectations as to future events and trends affecting its business and are necessarily subject to uncertainties, many of which are outside Premier's control. More information on potential factors that could affect Premier's financial results is included from time to time in the "Cautionary Note Regarding Forward Looking Statements," "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of Premier's periodic and current filings with the SEC, and also made available on Premier's website at investors.premierinc.com. Forward-looking statements speak only as of the date they are made, and Premier undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise that occur after that date.
INVESTOR RELATIONS CONTACT:
Jim Storey
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704.816.5958
Jim_Storey@Premierinc.com
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704.816.5405
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