CARLSBAD, Calif.--(BUSINESS WIRE)--Medsphere Systems Corporation, the leading provider of affordable and interoperable healthcare information technology (IT) solutions and services, today announced the closing of $32 million in financing from Morgan Stanley Expansion Capital and East West Bank. The company will use the funds to address accelerating demand for Medsphere’s comprehensive suite of healthcare IT solutions and services, and for strategic acquisitions.
“Medsphere’s breadth of offering combined with their depth of functionality and overall affordability differentiates it from the rest of the industry,” said Bill Reiland, Managing Director of Morgan Stanley Expansion Capital and Head of Morgan Stanley Expansion Credit. “The company is a true innovator, giving hospitals and clinics the workflow and technology they need at prices they can pay. We’re excited to invest in Medsphere as they continue to share their unique offering with healthcare organizations.”
Using a subscription-based payment model, Medsphere’s suite of solutions are available to all inpatient and ambulatory facilities, including behavioral health hospitals, specialty clinics and multi-facility systems, regardless of size and budget. Over the past two years, Medsphere has benefited from steadily increasing interest among healthcare organizations in a subscription approach to healthcare IT acquisition. The company’s subscription revenue grew 46 percent in 2017 and is on track to grow significantly again this year.
Medsphere’s CareVue electronic health record (EHR) for inpatient facilities, ChartLogic solution for clinics, and RCM Cloud system for revenue and back office ensures complete electronic support for clinicians and staff across the spectrum of care. Medsphere’s Phoenix Health Systems division also delivers superior, vendor-independent healthcare IT consulting, service desk support and infrastructure outsourcing services to a wide range of clients nationwide.
“We are very pleased to have Morgan Stanley Expansion Capital’s support for our growing organization,” said company President and CEO Irv Lichtenwald. “Both Morgan Stanley Expansion Capital and East West Bank have a clear understanding of our unique and disruptive business model and approach and recognize the potential of Medsphere to bring real change to healthcare IT.”
This investment will further drive Medsphere’s growth, allowing them to hire additional team members to support the further development and deployment of their solutions. By making CareVue, RCM Cloud and ChartLogic available in the cloud and combining them with a subscription service, Medsphere has dramatically reduced the financial and technological burdens that have historically fallen on healthcare organizations themselves, thus allowing customers to achieve their ultimate goals of lowering costs and delivering the highest quality care to patients.
Founded in 2002 and based in Carlsbad, Calif., Medsphere Systems Corporation is an organization of committed clinical and technology professionals working to positively impact patient care by delivering award-winning healthcare IT solutions for providers of every size and budget. Medsphere’s inpatient portfolio includes CareVue, an integrated EHR system that incorporates clinical, financial, and patient accounting solutions, and RCM Cloud, a complete end-to-end revenue cycle management solution.
Using a vendor-independent approach to helping hospitals solve critical challenges, the Phoenix Health Systems division provides a host of healthcare IT services, including systems implementation, project management, remote service desk, end-user device management, application management and IT leadership. And Medsphere’s ChartLogic division offers a complete ambulatory suite including EHR, Practice Management, Revenue Cycle Management, and Patient Portal.
Learn more about Medsphere at www.medsphere.com.
About Morgan Stanley Expansion Capital
Morgan Stanley Expansion Capital is the growth-focused private investment platform within Morgan Stanley Investment Management. Morgan Stanley Expansion Capital targets growth equity and credit investments within technology, healthcare, consumer, digital media and other high growth sectors. For over three decades, Morgan Stanley Expansion Capital has successfully pursued growth investment opportunities and has completed investments in over 200 companies leveraging the global brand and network of Morgan Stanley. For further information about Morgan Stanley Expansion Capital, please visit www.morganstanley.com/im/expansioncapital.
About East West Bank
East West Bancorp is a publicly owned company with total assets over $38.1 billion and is traded on the Nasdaq Global Select Market under the symbol “EWBC”. The Company’s wholly owned subsidiary, East West Bank, is one of the largest independent banks headquartered in California.
East West is a premier bank focused exclusively on the United States and Greater China markets and operates over 130 locations worldwide, including in the United States markets of California, Georgia, Massachusetts, Nevada, New York, Texas and Washington. In Greater China, East West’s presence includes full service branches in Hong Kong, Shanghai, Shantou and Shenzhen, and representative offices in Beijing, Chongqing, Guangzhou, Taipei and Xiamen.