Private equity firm offers $5.8 billion buyout of hospital billing company R1 RCM

R1 RCM, a large publicly traded technology company that helps hospitals and physicians collect money from insurers and patients, may be going private.

Private equity firm New Mountain Capital has offered to purchase R1 for $13.75 per share, or roughly $5.8 billion in cash, according to new financial disclosures filed Monday. New Mountain Capital is R1’s second-largest investor, owning nearly one-third of the company’s shares.

In response to the offer, R1 asked New Mountain Capital to “engage in good faith discussions” with its largest investor — a partnership between Ascension, the large Catholic hospital system, and private equity firm TowerBrook Capital Partners. New Mountain Capital has since held several in-person meetings with Ascension and TowerBrook throughout February, but maintained its original offer for R1. No deal has been finalized yet.

STAT+ Exclusive Story

Already have an account? Log in

This article is exclusive to STAT+ subscribers

Unlock this article — plus in-depth analysis, newsletters, premium events, and networking platform access.

Already have an account? Log in

Already have an account? Log in

Individual plans

Group plans

Monthly

$39

Totals $468 per year

$39/month Get Started

Totals $468 per year

Starter

$30

for 3 months, then $39/month

$30 for 3 months Get Started

Then $39/month

Annual

$399

Save 15%

$399/year Get Started

Save 15%

11+ Users

Custom

Savings start at 25%!

Request A Quote Request A Quote

Savings start at 25%!

2-10 Users

$300

Annually per user

$300/year Get Started

$300 Annually per user

View All Plans

Get unlimited access to award-winning journalism and exclusive events.

Subscribe

Log In