Recently, Parallon Business Solutions - a wholly owned
HCA Holdings, Inc.
) - signed a definitive agreement to buy The Outsource Group,
Inc. from ClearLight Partners, LLC. The financial terms of the
deal were not divulged. The acquisition is expected to close by
the end of Jun 2013.
The Outsource Group is among the largest privately held
healthcare firms in the U.S. that provides revenue cycle
management. This Mo.-based company's clientele comprises over 160
hospitals and physician practices across 38 states.
The acquisition will enhance Parallon's customer base. The
expansion in customer base as well as the addition of The
Outsource Group's annual revenues of more than $100 million will
in turn boost revenues of Parallon and HCA Holdings.
Outsourcing revenue cycle management is a growing trend among
hospitals. Following an organic as well as an inorganic route,
The Outsource Group positioned itself well to capitalize on the
Thus the addition of The Outsource Group, a leading revenue
cycle management company, will likely be beneficial to Parallon
in the near future. The HCA subsidiary is taking the inorganic
route to expanding its revenue cycle business.
The access to The Outsource Group's revenue cycle services
including full business office outsourcing, insurance billing and
follow up, third-party liability, primary and secondary bad debt
collections, Medicaid eligibility, early out/self-pay, onsite
financial counseling and physician billing, and follow up is
likely to be beneficial to HCA's client hospitals and surgery
centers as well.
HCA currently carries a Zacks Rank #3 (Hold). Other stocks
worth considering in the medical sector are
VCA Antech Inc.
) - Zacks Rank #1 (Strong Buy),
Molina Healthcare Inc.
) - Zacks Rank #1 (Strong Buy) and
Acadia Healthcare Company, Inc.
)- Zacks Rank #2 (Buy).
ACADIA HEALTHCR (ACHC): Free Stock Analysis
HCA HOLDINGS (HCA): Free Stock Analysis
MOLINA HLTHCR (MOH): Free Stock Analysis
VCA ANTECH INC (WOOF): Free Stock Analysis
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