SpendMend, a leading provider of solutions to optimize the cost-cycle for the healthcare industry, today announced they have closed on a round of strategic investments from Spectrum Health Ventures as well as Memorial Hermann Health System.
The new venture activity follows closely in the wake of the strategic investment into SpendMend by investment funds managed by Morgan Stanley Capital Partners, the middle-market-focused private equity team at Morgan Stanley Investment Management
"Nearly five years ago we pivoted," says Dan Geelhoed, SpendMend Founder and CEO. "We deliberately positioned away from being known only as the leading provider of profit recovery services in healthcare. We worked tirelessly to expand our solution suite, and we situated ourselves as the industry's foremost innovator for cost-cycle management. In that time, we have expanded our service offerings through internal product development and strategic M&A, leading to a significant increase in revenue in both organic and accretive growth."
"Controlling costs is arguably the biggest challenge facing health systems across the country today," says Scott McLean, Managing Director at Spectrum Health Ventures. "Simply put, SpendMend's suite of cost-cycle solutions helps hospitals reduce costs and optimize future savings. SpendMend is a perfect fit for the Spectrum portfolio, and they are fast becoming an indispensable partner for U.S. Health Systems."
"Our organization's mission to improve health goes beyond direct patient care as we focus on value and tactics that can help drive down the cost of care. Our approach includes aligning ourselves with organizations that share our vision for healthier communities in unique cost-effective ways," said Feby Abraham, Executive Vice President and Chief Strategy Officer for Memorial Hermann Health System. "This investment is one of several we have implemented that demonstrate a track record of meaningful solutions to bend the cost curve and support our ability to invest in healthier communities."
SpendMend is a leading provider of tech-enabled, cost-savings solutions in the healthcare industry. Combining the use of data, proprietary technology, and rigorous analytics with its healthcare focus and expertise, SpendMend partners with healthcare networks to expose the dark data to improve and optimize their costs in meaningful and collaborative ways. SpendMend's mission is to help its clients improve their patient care through innovative cost-savings solutions.
About Spectrum Health Ventures
Spectrum Health Ventures focuses on a vision of personalized health, made simple, affordable, and exceptional solutions. From startups to more experienced companies, Spectrum offers investment capital joined with the expertise of an integrated health system and health plan. The fast-growing venture firm actively partners with organizations to support their success and positively impacts the communities we serve.
About Memorial Hermann Health System
Charting a better future. A future that's built upon the HEALTH of our community. This is the driving force for Memorial Hermann, redefining health care for the individuals and many diverse populations we serve. Our 6,500 affiliated physicians and 29,000 employees practice the highest standards of safe, evidence-based, quality care to provide a personalized and outcome-oriented experience across our more than 265 care delivery sites. As one of the largest not-for-profit health systems in Southeast Texas, Memorial Hermann has an award-winning and nationally acclaimed Accountable Care Organization, 17* hospitals and numerous specialty programs and services conveniently located throughout the Greater Houston area. Memorial Hermann-Texas Medical Center is one of the nation's busiest Level I trauma centers and serves as the primary teaching hospital for McGovern Medical School at UTHealth. For more than 115 years, our focus has been the best interest of our community, contributing more than $400 million annually through school-based health centers and other community benefit programs. Now and for generations to come, the health of our community will be at the center of what we do - charting a better future for all.
*Memorial Hermann Health System owns and operates 14 hospitals and has joint ventures with three other hospital facilities, including Memorial Hermann Surgical Hospital First Colony, Memorial Hermann Surgical Hospital Kingwood, and Memorial Hermann Rehabilitation Hospital-Katy.
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Original Source: SpendMend Receives Strategic Investment From Two Major U.S. Health Systems