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Firstsource buys US firm BPM for $30 million
BS Reporter in Mumbai | January 05, 2007 11:03 IST
Firstsource Solutions (formerly ICICI OneSource), a business process outsourcing company, on Thursday acquired BPM - a Delaware-based healthcare claims' outsourcing company.
The acquisition, estimated to be around $30 million according to market sources, includes BPM's two wholly owned subsidiaries - MedPlans 2000 and MedPlans Partners.
The acquisition is expected to allow Firstsource to penetrate the healthcare vertical with capabilities in complex claims' adjudication. Firstsource will now offer clients database management, policy administration, claims processing and complex claims adjudication
Ananda Mukerji, managing director & CEO, Firstsource, said, "The healthcare vertical is one of our three focus verticals and represents a high growth area. This acquisition gives us enhanced capabilities in claims adjudication, that is complimentary to our current capabilities. We also acquire marquee customers, which provide a good opportunity to cross-sell. We were impressed with the quality of the operation and the management team which was instrumental in shaping our decision."
The company, by virtue of this acquisition, has also acquired a client portfolio that includes six Fortune 1000 companies and adds three centres in Rockford, Illinois; Fort Scott, Kansas and Louisville, Kentucky to its current 17 delivery centres globally.
Firstsource announced that Tony Pino would be executive vice-president of healthcare at Firstsource and there would be no change in the management structure of MedPlans Partners. Over 300 employees would continue with their current jobs.With this acquisition, the US headcount has risen to 800.