Inovalon to buy ABILITY for $1.2 billion
Inovalon, a vendor of cloud-based systems for data-driven value-based care, will acquire ABILITY Network for aggregate consideration of $1.2 billion in cash and restricted stock. The goal of the acquisition is to create a vertically integrated company in cloud-based enablement of data-driven value-based care. The transaction is expected to close in April 2018.
ABILITY is a cloud-based software-as-a-service technology company with products designed to help simplify the administrative and clinical complexities of healthcare. Through the myABILITY software platform, an integrated set of cloud-based applications for providers, ABILITY provides core connectivity, administrative, clinical, and quality analysis, management and performance improvement capabilities to more than 44,000 acute, post-acute and ambulatory provider facilities, the company said.
The extensive datasets, on-demand compute capability, advanced analytics and broad healthcare ecosystem connectivity enabled by the Inovalon ONE Platform, Inovalon said, will provide a significant expansion of application offerings within the myABILITY software platform while also expanding the nature and reach of high-value solutions for Inovalon’s existing payer, pharmaceutical and device client base.
Upon closing, the companies envision a vertically integrated cloud-based platform empowering the achievement of real-time value-based care from payers, manufacturers and diagnostics all the way to the patient’s point of care.
“The addition of ABILITY’s innovative platform-based applications, extensive provider client base and connectivity, and efficient, high-volume distribution channel will enable Inovalon to deliver increasingly differentiated value to both ABILITY’s provider customers and Inovalon’s established client base, as well as drive significant growth and accretive financial performance for our shareholders in 2018 and going forward,” said Keith Dunleavy, MD, CEO and chairman of the board of Inovalon.
Inovalon is at HIMSS18 in Booth 4049.
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