SAN MATEO, Calif.--(BUSINESS WIRE)--Model N, Inc. (NYSE: MODN), the leader in cloud revenue management solutions, today announced that it has completed its acquisition of Deloitte’s life sciences pricing and contracting solutions business and underlying technology.
With the acquisition, Model N has broadened its portfolio to better serve life sciences companies from pre-commercial to the largest enterprises in the world, deepened its domain expertise, and strengthened its offering by adding purpose-built, cloud-native software. In addition to increasing Model N’s addressable market, the acquisition will immediately provide cross-sell opportunities to customers of all sizes.
“This is an exciting acquisition for Model N not only because of the sizable expansion of our TAM but also because of the talented team of employees, complementary technology and significant customer base,” said Jason Blessing, president and chief executive officer of Model N. “With the addition of Deloitte’s cloud software and expert services solution, we can serve the entire life sciences market from pre-commercial to large enterprises. We now offer a complete range of revenue management solutions that support our customers as they move through various stages of development.”
Model N acquired Deloitte’s life sciences pricing and contracting solutions business and underlying technology for approximately $60 million in cash.
About Model N
Model N enables life sciences and high tech companies to drive growth and market share, minimizing revenue leakage throughout the revenue lifecycle. With deep industry expertise and solutions purpose-built for these industries, Model N delivers comprehensive visibility, insight and control over the complexities of commercial operations and compliance. Its integrated cloud solution is proven to automate pricing, incentive and contract decisions to scale business profitably and grow revenue. Model N is trusted across more than 120 countries by the world’s leading pharmaceutical, medical technology, semiconductor, and high tech companies, including Johnson & Johnson, AstraZeneca, Stryker, Seagate Technology, Broadcom and Microchip Technology. For more information, visit www.modeln.com.
As used in this document, “Deloitte” means Deloitte & Touche LLP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of its legal structure. Certain services may not be available to attest clients under the rules and regulations of public accounting.
This press release contains forward-looking statements including, among other things, statements regarding Model N’s product portfolio, TAM, benefits of the acquisition and value proposition. The words “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” and similar expressions are intended to identify forward-looking statements. These forward-looking statements are subject to risks, uncertainties, and assumptions. If the risks materialize or assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. Risks include, but are not limited to: (i) the possibility that the expected benefits related to our acquisition may not materialize as expected; (ii) the ability to successfully integrate Deloitte’s life sciences pricing and contracting solutions business and underlying technology; (iii) delays in closing customer contracts; (iv) our ability to improve and sustain our sales execution; (v) the timing of new orders and the associated revenue recognition; (vi) adverse changes in general economic or market conditions; (vii) delays or reductions in information technology spending and resulting variability in customer orders from quarter to quarter; (viii) competitive factors, including but not limited to pricing pressures, industry consolidation, entry of new competitors and new applications and marketing initiatives by our competitors; (ix) our ability to manage our growth effectively; (x) acceptance of our applications and services by customers; (xi) success of new products; (xii) the risk that the strategic initiatives that we may pursue will not result in significant future revenues; (xiii) changes in health care regulation and policy and tax in the United States and worldwide; (xiv) our ability to retain customers; and (xv) adverse impacts on our business and financial condition due to COVID-19. Further information on risks that could affect Model N’s results is included in our filings with the Securities and Exchange Commission (“SEC”), including our annual report on Form 10-K for the fiscal year ended September 30, 2020, and any current reports on Form 8-K that we may file from time to time. Should any of these risks or uncertainties materialize, actual results could differ materially from expectations. Model N assumes no obligation to, and does not currently intend to, update any such forward-looking statements after the date of this release.