Healthcare Financial Resources (HFRI), a leader in healthcare accounts receivable (AR) recovery and resolution management, today announced the acquisition of PARA HealthCare Financial Services, a provider of market-based pricing tools, analytics products, and consulting services that accelerate collections and improve margins for healthcare organizations. ParaRev is backed by Housatonic Partners, a San Francisco and Boston-based private equity firm.
The partnership extends HFRI’s revenue cycle capabilities by incorporating front-end reimbursement, pricing, coding and contract management competencies into the company’s advanced AR solutions.
“We are excited about joining forces with PARA,” said Jerry Connelly, President and Chief Executive Officer of ParaRev. “Like us, they’ve developed an extremely powerful set of revenue cycle tools that rely both on automation and staff expertise to help improve reimbursement and optimize hospital margins. Together, we’re delivering an unmatched revenue cycle solution that will further reduce AR cycle time and help providers generate more revenue.”
Peter A. Ripper, President and Founder of PARA, agreed the combined entity establishes a new standard for revenue cycle service by enabling providers to monitor the entire inner workings of their billing and AR processes. This approach optimizes revenue cycle integrity and improves patient satisfaction with increased pricing transparency. Peter and his management team will continue to lead PARA.
“Not only do HFRI’s technologies and services mesh perfectly with our approach, but we also share a commitment to customer service above all else,” Ripper said. “For us, this was an ideal fit.”
PARA’s solutions include the PARA Data Editor (PDE), a unique web-based single source and cloud computing solution that provides a central platform for managing all primary revenue cycle functionalities, including code book subscriptions, charge master guidelines, current and historic compliance information and hospital-specific revenue cycle data.
PARA also enhances consumer-facing transparency with a tool that generates timely and accurate payment estimates for Medicare and commercial beneficiaries as well as self-pay patients.
ParaRev utilizes proprietary intelligent automation and staff specialization to efficiently process all claims regardless of size or age for hospitals nationwide. In addition to the company’s AR recovery and resolution capabilities, ParaRev also provides denial management assistance by conducting root cause analysis and recommending process improvements to help decrease aged and denied claims going forward.
Greenberg Advisors, an investment bank specializing in RCM and Healthcare IT, acted as the financial advisor to PARA on the transaction.
HFRI, a leader in accounts receivable recovery and resolution, works as a virtual extension of your hospital central billing office to help you resolve and collect more of your insurance accounts receivable faster and improves operating margins through a seamless and collaborative partnership with your internal team. For more information visit: www.hfri.net
About PARA Healthcare Financial Services
PARA is the value-based solutions expert for the revenue cycle process providing a staff of specialists and online tools to support your needs and help you maintain the transparency and integrity of your revenue cycle. For more information visit: www.para-hcfs.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.