New Mountain Capital Merges with Machinify to Innovate Healthcare Payments

New Mountain Capital Acquires Machinify to Enhance Healthcare Payments

New Mountain Capital, LLC (“New Mountain”), a prominent growth-oriented investment firm managing over $55 billion in assets, has made a significant move to reshape healthcare payment solutions by acquiring Machinify, Inc. (“Machinify”). This acquisition will integrate Machinify’s advanced artificial intelligence (AI) technology into the newly formed organization created through the merger of three established players in the healthcare space: The Rawlings Group, Apixio’s Payment Integrity business, and VARIS. This merger is set to elevate the capabilities of the company, now known as Machinify, to provide innovative and efficient healthcare payment solutions.

About Machinify and Its Innovative Solutions

Established in 2016, Machinify stands at the forefront of AI-driven software aimed at transforming healthcare payments. The company's cutting-edge cloud-based data intelligence platform offers an array of secure and efficient applications tailored for optimizing the healthcare claims lifecycle. The backbone of this innovative company is its operating system, which significantly enhances automation, accuracy, and efficiency in the healthcare payments sector.

The Role of Machinify in the New Organization

With the merger, Machinify will leverage its cloud AI platform and team of skilled developers and data scientists to lead a new era in healthcare payment reconciliation. This powerful combination is expected to include over 2,000 employees dedicated to serving more than 60 health plans, incorporating 13 of the top 20 payers in the industry. David Pierre will take on the role of CEO, while Prasanna Ganesan, Machinify’s Founder and CEO, will serve as EVP and Chief Product Officer, joining the Board of Directors.

The Vision for Healthcare Transformation

Mr. Pierre emphasizes that this merger reflects a strategic focus on utilizing data and AI to streamline and reduce costs within the healthcare payment process. Together, New Mountain and Machinify aim to create a comprehensive range of products and services designed to reduce complexities in the industry, improving efficiency for payers, providers, and patients alike.

Expertise and Commitment to Excellence

Dr. Ganesan speaks to the firm commitment of the newly merged entity to uphold and enhance the transformative AI platform developed at Machinify. By merging their exceptional experience with that of Rawlings and Apixio PI, they are poised to build a next-generation infrastructure that promotes operational transparency throughout the healthcare system.

The Future of Healthcare Payments

New Mountain Capital, under the direction of Matt Holt, Managing Director and President, Private Equity, believes in the potential for technology to not only enhance efficiency in healthcare payments but to actively disrupt outdated traditions within the sector. The merger is supported by a robust group of investors, affirming confidence in the business strategy and anticipated outcomes.

The completion of this transformative merger is pending regulatory approvals but is projected to finalize soon, marking a significant step toward modernizing healthcare administrative processes. Financial advisories for the transaction included notable firms for both sides of the merger, ensuring a strategic and well-planned integration.

About the Merged Platform and Its Vision

The newly created company from the merger of Rawlings, Apixio PI, and VARIS is set to redefine healthcare intelligence. With expertise across the payment landscape, this organization delivers unparalleled value and efficiency to its clients. By serving over 60 health plans representing in excess of 160 million lives, it aims to develop disruptive solutions that optimize financial outcomes and reduce healthcare costs.

Machinify's Commitment to AI in Healthcare

At its core, Machinify is driven by an ambition to craft AI-first processes for dynamic decision-making throughout the healthcare claim payment cycle. The company's AI offerings have already generated substantial cost savings for numerous leading health plans, showcasing Machinify’s ability to make a tangible impact.

About New Mountain Capital

New Mountain Capital is a revered investment firm based in New York that values business growth and stability over high-risk ventures. By managing a variety of funds that exceed $55 billion in assets, the firm seeks to invest in high-quality growth organizations while collaborating closely with their management teams to amplify their performance and profitability. Their commitment to long-term growth reflects a profound understanding of successful investing practices in a diverse market environment.

Frequently Asked Questions

What does the acquisition of Machinify involve?

New Mountain Capital is acquiring Machinify to enhance its healthcare payment solutions using advanced AI technology.

Who will lead the newly merged company?

David Pierre will serve as CEO, with Prasanna Ganesan as EVP and Chief Product Officer.

What is the mission of the combined organization?

The mission is to streamline healthcare payments and increase efficiency through innovative technologies and expertise.

How many employees will the merged company have?

The newly formed company will have over 2,000 employees serving numerous health plans.

What sectors does New Mountain Capital invest in?

New Mountain Capital focuses on a variety of sectors, seeking high-quality growth leaders to invest in.

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