Bain Capital Acquires Majority Stake in Analytics Vendor LeanTaaS
The Boston-based Bain Capital Private Equity, a private investment firm with $160 billion in assets under management, has just acquired a majority stake in the Santa Clara, California-based LeanTaaS Holdings. A press release published to LeanTaaS’s website on Monday morning, June 6, began thus: “LeanTaaS Holdings, Inc. (the “Company”), a leading provider of cloud software solutions for optimizing hospital operations and capacity management, today announced that Bain Capital Private Equity (“Bain Capital”) has acquired a majority stake in the Company from existing investors Insight Partners and the Growth Equity business within Goldman Sachs Asset Management (“Goldman Sachs”). The transaction includes a significant growth capital commitment from Bain Capital that will enable LeanTaaS to continue to accelerate its rapid growth trajectory and innovative market-leading suite of cloud software solutions. Insight Partners and Goldman Sachs will each retain a material stake in the Company, which will continue to be led by its current management team, including Founder and CEO Mohan Giridharadas. Financial terms of the private transaction were not disclosed.”
The press release stated that “LeanTaaS’ cloud-based iQueue solutions help hospitals transform their approach to care delivery and improve capital and scarce resource decision-making by optimizing the utilization of critical assets including operating rooms, infusion chairs, and hospital beds. Leveraging a combination of cutting-edge AI, data science, and lean optimization principles, LeanTaaS has designed a powerful set of predictive analytics solutions that seamlessly integrate into workflows and enable health systems to unlock capacity, reduce patient delays, and grow revenue, while improving patient and provider care experiences. As a result, the Company delivers a compelling value proposition to the entire care ecosystem. Its long-term vision is to manage the operational application of patient flow and capacity optimization across the continuum of care on one single platform, effectively becoming the “air traffic control center” for a health system.”
The press release provided statements by LeanTaaS founder and CEO Mohan Giridharadas and Devin O’Reilly, a managing director at Bain Capital, in announcing the investment.
“We have developed a unique and disruptive approach to improving patient access and unlocking scarce capacity within hospitals and health systems. We are proud of the progress we have made in transforming mission-critical healthcare operations and are excited by the opportunity to continue to expand our suite of innovative solutions for our customers,” Giridharadas said. “We want to thank Insight Partners and Goldman Sachs for their help supporting the business during their ownership and positioning us for success in the next stage of our growth. We are delighted to partner with Bain Capital going forward as they share our vision for building a broader healthcare optimization platform and have an excellent track-record of building and scaling leading healthcare technology companies. This significant growth investment will provide us with valuable resources to accelerate our impact.”
And O’Reilley said that “Mohan and his team have built an exceptional business that is at the forefront of AI in healthcare, creating exceptional value for customers and poised for continued rapid expansion. We are thrilled to support LeanTaaS’ vision for transforming care delivery through automation and improving the quality of US healthcare.” Meanwhile, Paul Moskowitz, a principal at Bain Capital, said that “We believe LeanTaaS is well-positioned for continued long-term growth and see significant opportunity to scale the business through continued market penetration, strategic acquisitions, product innovation, and adjacent market expansion.”
The press release went on to say that “Bain Capital has a long history of partnering with companies to accelerate growth in the healthcare and technology sectors. The firm’s experience in healthcare and HCIT investments include athenahealth, Grupo Notre Dame Intermedica, HCA Healthcare, HST Pathways, InnovaCare Health, IQVIA, PartsSource, Surgery Partners, Waystar, and Zelis.”
The press release added that “The investment is expected to be completed in the third quarter of 2022 and is subject to regulatory approvals and customary closing conditions.”
