CHICAGO–(BUSINESS WIRE)–ParaRev, a leader in healthcare accounts receivable (AR) recovery and resolution management, has joined CorroHealth. Backed by Housatonic Partners, a San Francisco and Boston-based private equity firm, ParaRev was acquired by CorroHealth, backed by The Carlyle Group, to expand targeted RCM service offerings to the market.
ParaRev offers healthcare revenue cycle management services, from front-end charge master analysis and contract management to end-of-cycle zero-balance underpayment and denial recovery. The combination of the two companies is highly synergistic in terms of service offerings, customer base and overall strategic vision.
Jerry Connelly, CEO of ParaRev, commented, “We see major opportunities for synergy and convergence in joining CorroHealth, given there is no overlap between our two companies’ services,” Connelly said. “I’m pleased our existing clients will now be able to benefit from the combined strengths of the two companies.”
Pat Leonard, CEO of CorroHealth, stated, “The ParaRev team has excelled in taking on and delivering in several niche areas in the RCM space. These areas are typically overlooked by the various vendors in the space.” Leonard continued, “Focusing on these often-ignored opportunities including zero-balance underpayments and denial recovery will be a valued offering for the clients we serve.”
Lincoln International served as exclusive financial advisor to ParaRev in the transaction.
ParaRev, a leader in accounts receivable recovery and resolution, works as a virtual extension in hospital’s central billing office to help them resolve and collect more of their insurance accounts receivables faster and improve operating margins through a seamless and collaborative partnership with their internal team. The company’s comprehensive services also include a pricing transparency solution, which can help hospital improve revenue capture while remaining competitive in their market. For more information, please visit www.pararevenue.com
About Housatonic Partners
Housatonic Partners is a private equity investment firm founded in 1994, with more than $1.3 billion in capital under management. The firm invests in growing, profitable businesses with highly recurring revenue. Housatonic Partners has backed exceptional management teams in more than 90 small-to mid-sized companies over the last 25 years. For more information, please visit www.housatonicpartners.com
CorroHealth sits at the center of the revenue cycle revolution. Fundamental operations of the revenue cycle are supported through our expert teams while we recast the role of clinicians through automation. This shift to a true clinical revenue cycle helps us achieve our core purpose – exceed client financial health goals. In October 2020, TrustHCS, Visionary RCM, T-System and RevCycle+ joined forces and were named CorroHealth to provide a greater breadth of reimbursement cycle, risk adjustment and quality solutions to health systems and payers. For more information, please visit www.corrohealth.com
About The Carlyle Group
Founded in 1987, The Carlyle Group is a pre-eminent global investment firm based in Washington DC, District of Columbia. The firm has a total of ~$300B AUM and prefers to invest through means of buyouts and growth capital. Carlyle invests across four segments which include Corporate Private Equity, Real Assets, Global Market Strategies and Solutions. The firm invests across a wide variety of sectors including healthcare. Specifically, the firm invests in healthcare services, outsourcing services, companies running clinical trials for pharmaceutical companies, managed care, pharmaceuticals, pharmaceutical related services, healthcare IT, medical, products and devices. For more information, please visit www.carlyle.com
Vice President of Operations