Mediware Information Systems, backed by TPG Capital, has reached a deal to buy Kinnser Software Inc., a software application provider for home care agencies. The target’s technology provides “additional depth, expertise, and capabilities to strengthen our platform in the home health and hospice space,” states Mediware CEO Thomas Mann.
Founded in 2003, Kinnser provides software to more than 4,000 health, hospice and private duty home care professionals. The technology allows healthcare professionals to manage and streamline their workflow operations. Mediware is buying the company from Insight Venture Partners and Georgian Partners. CEO Chris Hester will continue to lead Kinnser.
Mediware has developed software tools for healthcare providers since 1980. The software-as-a-service technology is used for non-acute care, human social services, blood management and medication management. The deal to acquire Kinnser creates an integrated, high-growth software provider for the alternate care market, according to the company. TPG Capital acquired Mediware in February.
“Alternate care providers are continuing to see growth in patient volumes and are relying on technology as a low-cost and efficient management solution,” according to TPG partners Nehal Raj and Jeff Rhodes. The founders cite innovation as the source for advancing the healthcare industry’s infrastructure.
TPG Capital, based in Fort Worth, Texas, is the private equity fund of alternative investment firm TPG, which has $72 billion in assets under management. TPG Capital has invested in numerous healthcare and healthcare IT sector companies, including: pharmaceutical services Quintiles IMS, Evolent Health and EnvisionRX; blood transfusion therapy and diagnostics manufacturer Fenwal; orthopedic device company Biomet; and health care providers Surgical Care Affiliates, Parkway, and Chindex. TPG has offices in Austin, Beijing, London, New York, Boston, San Francisco and Houston.
The quest for improvements and advancements within technology has been a driving force for M&A across a variety of industries. Healthcare technology is one of the many industries seeing the influence. Recent deals include: Zimmer Biomet Holdings Inc.’s purchase of physical therapy tech manufacturer RespondWell and its comp completed deal for CD Diagnostics, a developer of medical tests designed to advance joint infection treatments; McKesson Corp.’s (NYSE: MCK) acquisition of CoverMyMeds; Auris Surgical Robotics Inc.’s purchase of medical robot manufacturer Hansen Medical Inc.; MedData Inc. acquisition of hospital software developer Cardon Outreach; and Thoma Bravo’s deal for medical IT security firm Imprivata (NYSE: IMPR).
Bank of America (NYSE: BAC) Merrill Lynch and SunTrust (NYSE: STI) Robinson Humphrey are acting as financial advisers to Mediware and TPG, while Ropes & Gray LLP is serving as legal counsel. William Blair & Co. is acting as financial adviser to Kinnser and Insight Venture Partners, while Willkie Farr & Gallagher LLP is serving as legal counsel.