Parallon is buying the Outsource Group, which manages health care revenue cycles.
St. Louis, Mo.-based Outsource provides hospital business-office outsourcing, insurance billing and follow up, third-party liability, primary and secondary bad debt collections, Medicaid eligibility, self-pay services, onsite financial counseling and physician billing and follow up.
Parallon, headquartered in Franklin, Tenn., administers business and operational services to the health care industry. The company expects the deal to help it meet the needs of its clients during a time of change in the industry. Terms of the deal were not disclosed.
Cain Brothers acted as Outsource’s financial adviser for the deal.
There have been many health care deals lately. In June, Great Point Partners LLC bought a stake in IVantage Health Analytics, which provides services to hospitals. In May, Allcare Medical and Landauer Metropolitan, both health care supply companies, announced they would merge to keep up with Medicare changes from the Affordable Care Act. Also in May, Instem Group bought Logos Technologies Inc., which makes software for managing early-phase clinical studies.