News

Parthenon Capital and Medical Consultants, Inc. Complete Transaction with Advanced Data Processing, Inc.

12/28/2006


Parthenon Capital (“Parthenon”) announced the consummation of the merger of Medical Consultants, Inc. (“Medical Consultants”), the leading independent provider of emergency department billing services, and Advanced Data Processing, Inc. (“ADPI”), the leading provider of billing services to emergency medical service agencies. In addition, the combined company announced the completion of its acquisition of Intermedix, LLC, the leading billing and technology solutions provider to emergency service agencies in Texas.  The combined company is the only national company focused exclusively on the revenue cycle management needs of all emergency professionals, providing billing, coding and collection services, electronic medical record capture and storage and other related services to ambulance transport, air rescue, emergency physicians and other emergency care providers.

Medical Consultants is the largest independent provider of medical billing and coding services to emergency departments in the United States. They provide a full outsourced billing solution, including chart coding, bill generation, bill submission, payment processing, collections and practice management services. Medical Consultant’s full billing solution enables its customers, primarily independent physician groups, larger physician staffing companies and hospitals, to outsource their entire back-office billing function.

ADPI is the largest independent provider of medical billing and coding services to emergency medical services agencies in the United States. ADPI also provides a full outsourced billing solution including the provision of mobile electronic patient record collection systems for its clients to capture patient information at the scene of the incident.

Intermedix is the leading provider of medical billing services and technology to EMS providers in the State of Texas. The Intermedix state-of-the-art proprietary billing system supports clinical data, document images, and on-line web-based client access. Its mobile, tablet-based, electronic patient care reporting solution, Triptix TM, is fully integrated with the billing software allowing customers a comprehensive view of financial and clinical patient data. Finally, its fully redundant and highly secure data center ensures full disaster recovery capabilities and unparalleled system security.

The business combination creates a unique company focused solely on patient incidents from pre-hospital to the hospital emergency department. The combined company will serve over 300 emergency care provider companies in 20 states and 400 hospital emergency department locations.

ADPI’s senior management team, headed by CEO Doug Shamon and COO Bill DeZonia, will lead the combined company. Medical Consultants will continue to be led by its current management team, headed by President Ken Goodin. Intermedix will continue to be led by its current management team, headed by President Jeremy Mattern, MD.

Doug Shamon, Chief Executive Officer commented, “ADPI and Medical Consultants are a natural fit. Our approach to quality, compliance, and specialized expertise in complementary specialties of the medical billing industry create a unique national company delivering value to emergency medical providers. Intermedix offers a state-of the-art billing platform that we plan to deploy across our EMS business segment over the coming two years. The platform includes point-of-care electronic capture of patient medical records seamlessly integrated with the billing software and on-line client access to clinical and financial information.”

The merger transaction was sponsored by Parthenon Capital. Parthenon had previously completed an investment in Medical Consultants in 2005. Proceeds from Parthenon’s investment, along with proceeds from other participants including senior management, Glenview Capital Management and other investors, were used to recapitalize the company and provide capital for future growth.

Medical Consultants, Inc. (www.epbs.com), founded in 1983, provides comprehensive billing services for hospital-based emergency physicians setting the standard for customer service, information, management reporting, technology and overall performance.

 

Advanced Data Processing, Inc. (www.emsclaims.com) specializes in emergency medical services billing. With a twenty-five year history, the company is the largest provider of EMS billing services in the country with four regional operations centers serving over 200 clients.

Intermedix Technologies, Inc. (www.intermedix.com) provides technology solutions for providers to efficiently document patient encounters at the point-of-care that seamlessly integrates the data with the billing system.

Parthenon Capital (www.parthenoncapital.com) is a private equity firm with over $1.5 billion of capital under management and offices in Boston and San Francisco. The firm provides capital and strategic resources to growing middle market companies for acquisitions, internal growth strategies and shareholder liquidity. Parthenon provides equity to companies with revenues of $50 million to $500 million. The firm invests in a wide variety of industries with a particular expertise in the business services, healthcare and financial services industries.

Glenview Capital Management is an investment company with over $6.5 billion of capital under management and offices in New York and London. In its sixth year of operations, Glenview invests in both the public and private markets across a wide variety of industries and geographies. For more information about Glenview’s private investing activities, contact Colbert Cannon at 212-812-4709.