Anodyne Health Acquires Piedmont Healthcare Management Group

ALPHARETTA, Ga. & CHARLOTTE, N.C.--(BUSINESS WIRE)--Anodyne Health, a leading provider of healthcare business intelligence technology and revenue cycle services, announced it has acquired Charlotte, NC-based Piedmont Healthcare Management Group, Inc. (PHMG), a healthcare management and technology company, effective February 19. The acquisition combines PHMG’s innovative suite of proprietary technology, comprehensive practice management services, and particular expertise within emergency medicine with Anodyne’s revolutionary business intelligence solutions and industry-leading experience within revenue cycle management, to create a unique solution for managing the business side of healthcare.

The joint operations and resources resulting from the acquisition are expected to place Anodyne among the top 25 U.S. providers of revenue cycle solutions by the end of 2008. The combined company now serves over 4,000 physicians.

“This acquisition allows Anodyne to provide our nationwide customer base with PHMG’s comprehensive suite of proprietary technology and full-service practice management support in addition to our business intelligence and revenue cycle solutions,” commented Anodyne’s CEO, Michael Funk. “This acquisition also enables Anodyne to address a wider range of physician specialties, including emergency medicine, a primary component of Anodyne’s strategic focus on the hospital-affiliated physician segment. The strengths of both organizations work in concert to offer physician organizations unprecedented capabilities that specifically address the challenges they face daily.”

Customers of Anodyne and PHMG will benefit from the increased capabilities of the combined firm. A more robust technology offering is key among such customer advantages with PHMG contributing its chart accountability, medical coding, clinical quality tracking, and physician productivity applications to Anodyne’s powerful business intelligence and revenue cycle engine. The result is a rich portfolio of technology offered through a Software-as-a-Service model.

Davin Juckett, President of PHMG, stated, “Anodyne’s complementary technology solutions and focus on client service are the perfect match for PHMG’s corporate culture and mission. The depth of Anodyne’s management team and the strength of Anodyne’s investor support will greatly accelerate the development efforts and business expansion strategy associated with PHMG’s technology suite. We are confident this acquisition provides tremendous value for our customers, employees, and shareholders.” Mr. Juckett will continue with the combined company in the position of Senior Vice President of Emergency Medicine Solutions and as a member of the Anodyne executive team.

Alpharetta, GA and Portland, ME-based Anodyne, was introduced to PHMG by Russell Bryan, Managing Director at Brookwood Associates, an investment banking firm based in Charlotte, NC. Anodyne’s institutional investors, Wakefield, MA-based Brook Venture Partners and Charlotte, NC-based Frontier Capital, envisioned the potential of the two companies’ combined efforts and worked with executives of both companies to complete the acquisition.

“This acquisition enables the best elements of the two companies to emerge and accelerate the rapid organic growth and national positioning that Anodyne’s team has begun,” said Frontier Capital’s Managing Partner, Richard Maclean.

“Building upon an already strong platform and a culture that leverages technology, we believe Anodyne is quickly becoming the market leader for delivering revenue cycle technology through a Software-as-a-Service model,” added Walter Beinecke, a Partner with Brook Venture Partners.

Employees of the former PHMG entity will remain in their current Charlotte, NC offices.

About Anodyne Health

Anodyne Health (www.anodynehealth.com) delivers revenue cycle solutions to healthcare provider organizations including physician billing, medical coding and business intelligence software. The company’s billing solution helps practices collect more revenue, minimize compliance risk and gain a deeper understanding into the business side of their practice. Anodyne’s unique, easy-to-use web-based business intelligence software revolutionizes access to revenue cycle information that was once thought difficult, or even impossible, to obtain.

About Piedmont Healthcare Management Group, Inc.

Piedmont Healthcare Management Group, Inc. (www.phmg.net) provides healthcare business services to physician-based organizations. With particular expertise in the specialty of emergency medicine, PHMG’s scope of services includes physician billing, medical coding, information technology solutions, and practice management support. PHMG combines the diverse skill set of its employees, its focus on client service, and its innovative technology to help clients maximize their financial and operational performance.

Brook Venture Partners (www.brookventure.com)

Frontier Capital (www.frontiercapital.com)

Brookwood Associates (www.brookwoodassociates.com)