May 6, 2008
GREENWICH, CT and INDIANAPOLIS, IN – Health Systems International (“HSI”), a Great Point Partners (“GPP”) portfolio company and a rapidly growing provider of outsourced medical cost management solutions, announced that it has acquired the Bass & Babb Companies (“Bass & Babb”). Bass & Babb is a leading provider of case management, vocational counseling and bill review services to the workers’ compensation market. The combined companies provide medical cost management solutions to health care payors and provider networks throughout the world. Their solutions are designed to relieve clients’ administrative burden and achieve the lowest possible cost of care.
Dr. Jeffrey R. Jay, Managing Director at Great Point Partners, said, “The acquisition of Bass & Babb represents a valuable strategic addition to the HSI platform. This transaction expands HSI’s core service offering into the high growth workers’ compensation market. It also brings many valuable new client relationships. We look forward to working with our new partners at Bass and Babb.”
Russell W. Sherlock, Chief Executive Officer of HSI, said, “Bass & Babb’s current customers will benefit from access to HSI’s PPO network relationships, technology and repricing services, which can now be integrated with their medical bill review and negotiation services”, Sherlock added. “Overall, we were very impressed with their team. The combination of our companies will produce better results for our customers. The expanded breadth of our combined services serves to fulfill our vision of becoming the leading provider of medical cost management solutions.”
“Bass & Babb started out contracting with HSI as our network access and repricing vendor,” added Kathleen A. Bass, President and CEO of Bass & Babb. “This is a very exciting opportunity for all of us since our company, our leadership and our employees will become the platform for HSI’s growth into the workers’ compensation market. HSI’s health care expertise, complementary service solutions and the strong financial backing of Great Point Partners made them the perfect partner for our future. We will now be able to offer a complete, fully integrated medical cost management solution to our combined clients.”
As part of the transaction, Kathleen A. Bass has been named President and Kevin Babb, Vice President of HSI’s Workers Compensation Division.
About Health Systems International, LLC
Health Systems International, LLC, headquartered in Indianapolis, Indiana, is a healthcare information technology company offering outsourced medical cost management solutions to health plan payors and medical provider networks around the world. Since 1987, HSI has utilized proprietary technology, experienced staff and the markets broadest selection of medical discount solutions to relieve their client’s administrative burdens and achieve the lowest possible cost of care.
About Great Point Partners, LLC
GPP, based in Greenwich, CT, is a leading health care investment firm with approximately $900 million of equity capital under management. The firm manages capital in public and private equity funds. Great Point Partners has provided growth equity, growth recapitalization, and management buyout financing to more than 100 health care companies. Both the private and public funds invest across all sectors of the health care industry including biotechnology and life sciences, consumer health, generic drugs, health care services, information technology, insurance, medical devices, specialty pharmaceuticals, and workers compensation. The firm pursues a proactive and proprietary approach to sourcing investments. Reach Great Point at 203-971-3300. www.gppfunds.com
This document is intended solely to provide information regarding Great Point Partners’ potential financing capabilities for prospective portfolio companies.