Orchard Software to be acquired by private equity firm
Francisco Partners, an IT-focused private equity firm, says it plans to acquire Orchard Software, the laboratory information systems vendor.
WHY IT MATTERS
Orchard's LIS technology, along with other clinical and pathology laboratory workflow tools and lab outreach and point-of-care testing products, will benefit from the deal, said Francisco Partners Principal Jonathan Murphy.
With the acquisition, "they are well positioned to continue to drive product innovation in the LIS market, and we are excited about the opportunity in POCT and partnering with the team to accelerate the company to new levels of growth and impact for laboratorians across the U.S.," he said in a statement.
As part of the transaction, Billie Whitehurst, RN, who previously served as senior vice president at Netsmart and has also held senior roles at Change Healthcare and McKesson, will succeed Orchard founder Rob Bush as CEO.
THE LARGER TREND
Founded in 1993, Orchard's lab system technologies are deployed at hospitals, multi-site and multi-specialty physician groups, independent reference labs, student health centers, veterinary labs and public health organizations.
The company offers advanced rules-based decision support and data analytics, and efficient integration with other IT systems.
Lab technology has traditionally been a big area of investment for health systems looking to achieve quality improvement and cost efficiency goals. But the systems have also been facing challenges in recent years handling the data demands of genetic testing as precision medicine initiatives become more common across healthcare.
ON THE RECORD
"We look forward to the partnership with the FP team and are excited about fueling what has made Orchard successful with additional expertise and capital to accelerate our growth and continue to bring innovation to our customers," said Rob Bush, in a statement.
"Francisco Partners' deep experience in healthcare technology and proven track record in nurturing and growing technology businesses will enable Orchard Software's loyal base of employees to continue delivering market leading solutions and new innovations," said Billie Whitehurst.
Healthcare IT News is a publication of HIMSS Media.