HMS Holdings
| Company type | Private |
|---|---|
| Industry | Healthcare technology |
| Founded | 1974 |
| Fate | Acquired by Veritas Capital in 2021 |
| Headquarters | Irving, Texas , United States |
| Parent | Veritas Capital |
HMS Holdings Corp. (also known as Healthcare Management Systems), established in 1974 and headquartered in Irving, Texas, was previously traded on the Nasdaq stock exchange until its acquisition by the private equity firm Veritas Capital in 2021.
History
In 2021, Gainwell Technologies completed the purchase of HMS Holdings for an estimated $3.4 billion.
Products and services
HMS specializes in validated insurance solutions, focusing on identifying responsible third parties to prevent incorrect payments, recover excess disbursements, and minimize fraud and waste. Additionally, the company delivers support services to Medicaid Managed Care Organizations and Medicare Advantage Plans.
Acquisitions
HMS expanded through several acquisitions: in 2006, it acquired Public Consulting Group’s Benefits Solutions Practice Area for $80 million, paid via cash, stock, and contingent considerations. In November 2011, the company bought HealthDataInsights for approximately $400 million. The following year, in December 2012, it acquired MedRecovery Management, LLC for about $11.8 million.
Further growth in analytics was achieved in 2017 with the acquisition of Eliza Corporation, a firm specializing in health engagement and member analytics, for $170 million. HMS also enhanced its capabilities by acquiring Essette in 2016 and Accent in 2019 for around $155 million, bolstering its expertise in population health management and payment accuracy services.
Awards
HMS Holdings earned recognition on the InformationWeek 500 list in both 2012 and 2013. Moreover, in 2013, it was featured among the 40 fastest-growing healthcare companies on Modern Healthcare magazine’s "Healthcare’s Hottest" list.