Funds managed by MTS Health Investors, a healthcare private equity firm, have purchased a majority stake in HealthHelp, a radiology benefit management company based in Houston, Texas, from
Funds managed by MTS Health Investors, a healthcare private equity firm, have purchased a majority stake in HealthHelp, a radiology benefit management company based in Houston, Texas, from an individual investor on undisclosed terms. The senior management team at HealthHelp will remain with the company.
HealthHelp provides a set of radiology cost-containment services to health insurers, third-party administrators, preferred provider networks, and self-insured employers. The company’s services cover more than nine million members in all 50 US states, Puerto Rico, the US Virgin Islands and Guam.
‘HealthHelp presents a unique opportunity for MTS to invest in a proven platform in an industry that has attractive underlying growth dynamics,’ says MTS senior managing director Oliver T. Moses.
‘The company’s strong executive leadership and differentiated product offerings have resulted in substantial momentum, as reflected in the approximately two million new members awarded to HealthHelp during the past four months. We are confident that MTS’s extensive relationships within the payer community will further enhance the company’s new business opportunities.’
HealthHelp chief executive Cherrill Farnsworth adds: ‘We are pleased to gain the support and backing of MTS’s leading healthcare investment franchise. We believe that MTS’s investment will create new value for our company, our customers and our employees.’
HealthHelp was founded in 1999 and has grown significantly through expanding its product offerings and broadening its customer base. It focuses on providing physicians with evidence-based clinical information and support when ordering radiology exams, enabling managed care organisations to identify radiology claims paid in error and adopt new payment policies, educating plan enrolees and their physicians about the effects of radiation, and assisting enrolees in selecting imaging centres.
New York-based MTS Health Investors makes equity investments in the buyout, recapitalisation or growth financing of healthcare operating companies, focusing on services businesses including managed care and health insurance, providers of healthcare services, distributors of medical products and providers of outsourced services to the industry, as well as manufacturers of low-technology medical products.
