Mediware to Acquire Kinnser Software

Transaction expands Mediware’s offering as the leading software provider to the alternate care market

Transaction backed by TPG Capital

LENEXA, Kan.--()--Mediware Information Systems, Inc. announced today that it has finalized an agreement to acquire Kinnser Software, Inc., the leading provider of software solutions for home health and hospice providers. The transaction, backed by TPG Capital, enables Mediware to expand its portfolio in the home health and hospice space, creating an integrated, high-growth software provider for the alternate care market. Mediware is purchasing Kinnser from Insight Venture Partners. The transaction is expected to close at the end of the second quarter and is subject to customary closing conditions, including regulatory approvals.

“Kinnser’s intuitive platform provides Mediware with additional depth, expertise, and capabilities to strengthen our platform in the home health and hospice space,” said Thomas Mann, CEO of Mediware. “This transaction marks our next step as we continue to expand our offering as the leading, integrated supplier of software solutions for alternate care providers. With Kinnser, we add home health and hospice to our leading positions in software solutions for home IV, home medical equipment and rehabilitation providers. We are excited to work together to continue to accelerate Mediware’s growth.”

Kinnser’s software helps more than 4,000 home health, hospice, and private duty home care professionals efficiently manage and streamline workflow operations. The company’s core products, Kinnser Agency Manager and Kinnser Hospice, offer software solutions for electronic medical record keeping, revenue cycle management, financial reporting, and quality assurance. Kinnser was founded in 2003 by CEO Chris Hester.

“We are committed to providing our customers with innovative solutions that support excellent care and profitable growth, making them more competitive in the rapidly changing fields of home health and hospice,” said Chris Hester, Founder and CEO of Kinnser. “This combination with Mediware enables us to expand our offerings and serve even more customers. We thank Insight Venture Partners and Georgian Partners for their partnership and look forward to our next chapter with Mediware and TPG. Personally, I am excited to continue to lead Kinnser and to partner with Mediware as we realize the exciting potential together in our businesses.”

“It has been a pleasure to partner with Chris Hester and Kinnser as the company has scaled,” said Richard Wells, Managing Director at Insight Venture Partners. “Kinnser’s impressive leadership team and employees will be a strong addition to Mediware.”

In February, TPG Capital closed its acquisition of Mediware. Mediware is a leading supplier of software as a service (“SaaS”) and other software platforms for non-acute care, human and social services, blood management, and medication management. Mediware is focused on delivering high-quality solutions to meet the demands of complex workflows in demanding regulatory environments.

“As experienced investors in software and healthcare, we have witnessed the role that innovation can play in advancing the industry’s infrastructure. Alternate care providers are continuing to see growth in patient volumes and are relying on technology as a low-cost and efficient management solution,” said Nehal Raj and Jeff Rhodes, Partners at TPG. “We partnered with Mediware because we saw a compelling opportunity to invest in a high-quality software provider that will continue to benefit from these trends. Kinnser fits well within this vision, and broadens our end-market breadth within alternate care settings. This transformative acquisition diversifies and strengthens Mediware’s business, and is a product of our focused strategy to drive both organic and inorganic growth at Mediware.”

TPG has previously invested in a number of companies in the healthcare IT sector, including Evolent Health, IMS Health, and Quintiles (QuintilesIMS). The firm is an experienced investor in both the software and healthcare sectors. Select software investments include CCC Information Services, EverFi, Eze Software, Intergraph, and Vertafore. The firm’s healthcare investments include Adare Pharmaceuticals, EnvisionRx, Fenwal, Par Pharmaceutical (Endo), and Surgical Care Affiliates (SCA).

BofA Merrill Lynch and SunTrust Robinson Humphrey acted as financial advisors to Mediware and TPG. Ropes & Gray LLP served as legal counsel to Mediware and TPG. William Blair & Company acted as exclusive financial advisor to Kinnser and Insight Venture Partners. Willkie Farr & Gallagher LLP served as legal counsel to Kinnser and Insight Venture Partners.

About Mediware

Since 1980, Mediware has provided software solutions to healthcare providers and has since expanded to serve many state and federal agencies. Mediware’s solutions are perfect for high-growth, complex patient care environments that remain underserved by existing vendors. The company employs more than 650 subject matter experts who deeply understand business and care processes in highly specialized acute, non-acute, and community-based care settings and have years of experience integrating systems. Mediware’s portfolio of solutions currently includes human and social services, blood solutions, cellular therapy, homecare, medication management, rehabilitation, and respiratory therapy. For more information about Mediware products and services, visit www.Mediware.com.

About Kinnser Software®

Kinnser Software, Inc. provides web-based solutions that deliver clinical and business results to the home health, hospice, and private duty industries. Founded in 2003 and headquartered in Austin, Texas, Kinnser Software serves more than 4,000 home health, hospice, therapy, and private duty home care providers nationwide. Every day, Kinnser helps tens of thousands of clinicians and other staff in post-acute health care to manage scheduling, billing, electronic visit verification, day-to-day operations, and patient referrals. Learn more at www.kinnser.com.

About TPG

TPG is a leading global alternative asset firm founded in 1992 with approximately $72 billion of assets under management and offices in Austin, Beijing, Boston, Dallas, Fort Worth, Hong Kong, Houston, London, Luxembourg, Melbourne, Moscow, Mumbai, New York, San Francisco, Seoul, and Singapore. TPG’s investment platforms are across a wide range of asset classes, including private equity, growth venture, real estate, credit, and public equity. TPG aims to build dynamic products and options for its investors while also instituting discipline and operational excellence across its investment strategies and the performance of its portfolio. For more information, visit www.tpg.com.

About Insight Venture Partners

Insight Venture Partners is a leading global venture capital and private equity firm investing in high-growth technology and software companies that are driving transformative change in their industries. Founded in 1995, Insight has raised more than $13 billion and invested in more than 280 companies worldwide. Insight’s mission is to find, fund and work successfully with visionary executives, providing them with practical, hands-on growth expertise to foster long-term success. For more information on Insight and all of its investments, visit www.insightpartners.com or follow on Twitter: @insightpartners.

Contacts

Mediware
Jonathan Seiter, 913-307-1017
jonathan.seiter@mediware.com
or
Kinnser
Chip Schneider, 512-879-3135 x15107
chip.schneider@kinnser.com
or
TPG
Luke Barrett, 415-743-1550
media@tpg.com

Contacts

Mediware
Jonathan Seiter, 913-307-1017
jonathan.seiter@mediware.com
or
Kinnser
Chip Schneider, 512-879-3135 x15107
chip.schneider@kinnser.com
or
TPG
Luke Barrett, 415-743-1550
media@tpg.com