ATLANTA, October 1, 2012 – McKesson and MED3OOO today announced they have signed a definitive agreement under which McKesson will acquire MED3OOO, a national healthcare management and technology services company that helps improve outcomes for providers, health plans, employers, and the patients and employees they serve.
MED3OOO’s products and services include physician group management, billing and revenue cycle management (all specialties), hosted applications, third-party administrator services, and a proprietary, cloud-based solution that enables practices to rapidly adjust to the ever changing demands of healthcare without concern for server expansions, software and system upgrades or extended downtime due to hardware failure.
Once complete, the acquisition will complement the medical billing and practice management service offerings of McKesson Revenue Management Solutions (RMS) and accelerate expansion into growth markets, including the ability to provide new domain expertise, services and technologies that help customers build and succeed within an accountable care environment.
Based in Pittsburgh, Pa., MED3OOO employs 2,800 employees in the U.S. and has been recognized by Inc. magazine on its Top 5,000 List for the last five years as one of the fastest growing companies in the nation. MED3OOO provides a broad array of proprietary and non- proprietary healthcare management and technology services to an expansive customer base that includes more than 10,000 physicians, 15,000 technology users, numerous hospitals and health systems, physician networks, state and local municipalities providing third party administration and benefits consulting for employers or state agencies, as well as revenue cycle management services for EMS providers and independent practice associations.
“McKesson and MED3OOO share a commitment to help customers navigate growing healthcare complexity and achieve their full potential,” said Pat Leonard, senior vice president and general manager, RMS. “We are excited about the opportunity to combine best practices and superior technologies to help providers and other customers improve their operations and achieve better business health as part of our Better Health 2020™ strategy.”
The parties expect to complete the acquisition in the next few months, subject to the satisfaction of customary conditions, including all necessary regulatory clearances.
“The future of healthcare reform will reward those that can provide measureable improvements in the cost, quality and access to care,” said Patrick Hampson, chairman and chief executive officer of MED3OOO. “Together, McKesson and MED3OOO will provide industry leading expertise and the sophisticated infrastructure and reporting that our provider, supplier and employer customers need as they better manage their populations of patients and employees.”
McKesson Revenue Management Solutions is a leading provider of medical billing and practice management services, with a team of more than 4,500 experienced revenue cycle professionals. With its focus on helping physicians and other constituents improve their financial performance, the acquisition of MED3OOO is a reflection of McKesson Technology Solution’s Better Health 2020™ strategy. Better Health 2020 represents the company’s commitment to support organizations as they focus on the demands of health reform, including the need to reduce costs, coordinate care, assume more risk and manage complex payment models.