HMS Holdings didn’t have to look far for its latest acquisition.
The Irving-based company paid $36.5 million for Plano’s VitreosHealth, which provides predictive and prescriptive health insights for risk models, according to a statement. The companies were partners prior to the deal.
The agreement was funded by cash on-hand at the company (Nasdaq: HMSY) that helps payers in the health care system reduce costs and improve outcomes.
VitreosHealth uses an artificial intelligence-driven platform that manages data from sources that include electronic health records, claims, health risk assessments and socioeconomic data. It provides insights that allow clinicians and health plan administrators to track down and address care gaps among members or patients.
“We are excited to join forces with HMS, a dynamic healthcare technology and services leader that is like-minded in its focus on improving health outcomes and reducing costs across the healthcare continuum,” VitreosHealth Co-founder and CEO Jay Reddy said in a prepared statement.
HMS, which moved its headquarters to Irving from New York earlier this decade, is investing in new tools. The company reported sales rose about 15 percent in the second fiscal quarter.
“Historically, to achieve our strategic goals, we have made a significant number of acquisitions that have expanded the solutions and services we offer, provided a presence in complementary business lines or expanded our geographic presence and/or customer base,” the company said in a regulatory filing late last year. “We intend to pursue future acquisitions that will continue to expand and complement our business and to periodically engage in discussions regarding such possible acquisitions.”
HMS' "Elli" offering gives insights on populations and individual members to facilitate better care management programs, according to the release. Elli monitors members to proactively identify risks related to medical conditions, social determinants and other factors.
