Apixio, an artificial intelligence company that supports health plans and provider groups in their delivery of value-based care, announced that it has completed its merger with ClaimLogiq, a healthcare technology business that delivers savings for health plans by reducing claim errors prior to payment. Together, the combined entity will be branded as Apixio.
Top AI Machine Learning News: Instabase Doubles Valuation to $2B and Launches AI Hub, A Generative AI Based Platform for Content Understanding
The merger creates a leading healthcare data and analytics company powered by an advanced AI-driven platform that applies both clinical and financial data to minimize reimbursement inaccuracies, reduce total cost of care, and optimize the patient experience for health plans and provider groups. The merger is being supported by New Mountain Capital (“New Mountain”), a leading growth-oriented investment firm with more than $37 billion in assets under management. Eir Partners, ClaimLogiq’s first institutional investor, has backed ClaimLogiq since 2021 and will remain a significant minority investor in the combined company. The transaction closed on June 13th, 2023, and terms of the transaction were not disclosed.
Together, the combination of Apixio and ClaimLogiq’s critical infrastructure, artificial intelligence, and proprietary healthcare data will accelerate the shift toward outcomes-based reimbursement models by reducing costs, minimizing claim adjudication errors, and optimizing the delivery of both payments and care. The combined company will have more than 280 employees and the experienced leadership teams of Apixio and ClaimLogiq will come together to continue to develop innovative solutions for their payer and risk-bearing provider customers. Apixio Chief Executive Officer Sachin Patel will become Chief Executive Officer of the combined entity, and ClaimLogiq Chief Executive Officer Tom Magnotta will become President and Chief Operating Officer.
“With the completion of Apixio’s merger with ClaimLogiq, our combined platform will serve as a compelling offering for the nation’s leading health plans and provider groups,” commented Sachin Patel. “Apixio’s healthcare expertise and cutting-edge application of natural language processing enables us to improve the clinical, operational and financial outcomes for our customers and the patients they serve.”
Top AI ML News: Priceline Charts Businesswide Generative AI Deployments with Google Cloud
“We are excited to come together with Apixio as we build the nation’s leading connected care platform,” added Tom Magnotta. “By leveraging the unique technology capabilities, rich data assets and advanced analytical models of two innovative healthcare technology companies, Apixio’s combined solution suite allows us to provide a broader offering to our healthcare partners.”
“We view the merger of Apixio and ClaimLogiq as creating a truly differentiated player in the healthcare technology industry,” said Matt Holt, Managing Director and President, Private Equity at New Mountain Capital. “We intend to continue investing in the combined company’s existing artificial intelligence capabilities while also launching new products with the aim of building the leading ‘connected care’ platform in the marketplace, enabling health plans’ and provider groups’ transition to value-based care.”
“Since our original investment in ClaimLogiq, applying leading technology to reduce cost and improve outcomes for our customers has been core to our thesis,” added Brett Carlson, Managing Partner at Eir Partners. “We have been impressed by Apixio’s capabilities and we believe that the combined company will help payers and risk-bearing providers be on the forefront of innovation in healthcare.”
J.P. Morgan Securities LLC served as financial advisor to New Mountain Capital and Ropes & Gray LLP served as its legal counsel.
AiThority: The 3 Building Blocks to Make AI Accessible
[To share your insights with us, please write to sghosh@martechseries.com]
Comments are closed.