Craneware, Inc., a provider of automated revenue integrity solutions for the U.S. healthcare market, has acquired Nashville-based ClaimTrust, Inc., a Software-as-a-Service revenue cycle technology vendor.
According to Atlanta-based Craneware, the deal is valued at an initial consideration of $15 million with a maximum total consideration of $19.5 million, subject to certain performance criteria and working capital adjustments.
"This acquisition is a major step forward for Craneware,” said Keith Neilson, Craneware’s CEO, in a release announcing the deal. “ClaimTrust brings five core complementary products to the existing Craneware Revenue Integrity Solutions, increasing our product set and strengthening the value we deliver to the healthcare market.”
[In other recent Craneware news, the company's Chargemaster Toolkit was rated highly by KLAS]
Neilson noted that ClaimTrust has helped hospitals manage the Recovery Audit Contractor (RAC) process to win more than twice as many appeals as their peers and defend millions of dollars in Medicare RAC denials. He said the acquisition would add “tremendous value” to Craneware's existing offerings.
Joe Ferro, President and CEO of ClaimTrust, said the company would help Craneware clients improve financial performance and meet increasingly stringent compliance regulations.
ClaimTrust has a customer base of more than 275 hospitals, of which approximately 10 percent overlap with the more than 1,000 healthcare organizations Craneware currently serves. Through the acquisition, Craneware will expand its employee base from 150 to more than 200.