Atos acquires three firms in US healthcare IT consulting market

16 October 2017 Consultancy.uk

Following the acquisitions of three healthcare consultancies, Atos has said that it is set to generate over €1 billion in revenue connected to its work in the healthcare sector. Pursuit Healthcare Advisors, Conduent's Healthcare Provider Consulting and Conduent's Breakaway Group have all become part of Atos’ network in a major deal, the terms of which were not disclosed.

French-headquartered Atos has completed the acquisition of healthcare consulting companies Pursuit Healthcare Advisors, Conduent’s Healthcare Provider Consulting and Conduent’s Breakaway Group for an undisclosed fee. The additions follow the 2016 capture of Anthelio Healthcare Solutions, and are aimed at allowing Atos to tap into the rapidly-growing US health IT market. As health insurance costs continue to grow rapidly around the globe, care providers are looking to deploy technological solutions to add value and cut costs to their services.

The consulting industry is subsequently keen to offer its services to potential clients in the lucrative sector, with this news following the recent acquisition of Vynamic by UDG Healthcare – as the health firm acknowledged the opening window of opportunity for profit as consultants within health. Atos aim to grow their client-base in a similar way, offering support to provider groups and payers as they look to optimise clinical and financial performance, while addressing the increasing demands of new government regulations in the turbulent American healthcare sector.

Atos acquires three firms in US healthcare IT consulting market

The newly acquired companies have notable resumes within healthcare consulting, including technology adoption, program and project management; Electronic Health Record (EHR) implementation and optimisation capabilities, and population health and analytics expertise. Conduent is a business process services company headquartered in New Jersey. It was formed in 2017 as a divestiture from Xerox, and has now sold both its Healthcare Provider Consulting group and Breakaway Group to Atos, while Pennsylvanian Pursuit Healthcare Advisors join the Atos network having worked as an IT health solutions advisory independently. 

The deals will further strengthen the scale and scope of Atos’ healthcare-focused services in its Business & Platform Solutions division. Approximately 400 healthcare consultants will now join the Atos Group, reinforcing Atos’ offering for clients. Following the acquisitions, Atos said it expects to generate more than €1 billion ($1.18 billion) revenue annually in the healthcare sector.

"Through these acquisitions we now have strengthened our end-to-end capabilities, from optimizing and securing the technology foundation to leveraging financial and clinical data, in order to help our customers manage their businesses while transitioning to new healthcare models such as value-based care," said Atos’ North America Healthcare Managing Director Darin LeGrange.

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