Zelis Gains Mubadala Investment Boost
Deal News | Dec 05, 2024 | Zawya
Mubadala Investment Company, headquartered in Abu Dhabi, has announced a strategic investment in US healthcare technology firm Zelis. This marks Mubadala's largest investment in the healthcare sector, particularly targeting payer and provider technology within healthcare IT. While Mubadala leads this investment alongside other investors such as Norwest and HarbourVest, the majority ownership will remain with Parthenon and Bain Capital. Zelis is known for its innovative platform which enhances the US healthcare financial system by bridging the gaps between payers, providers, and consumers, ultimately reducing costs and improving care outcomes. The partnership will allow Zelis and Mubadala to continue achieving efficiency-driven, technology-based solutions, further impacting the healthcare landscape positively. Financial advisement for the deal was provided by Goldman Sachs and J.P. Morgan for Zelis, and by Evercore for Mubadala, with respective legal advisories by Kirkland & Ellis and Akin Gump Strauss Hauer & Feld.
Sectors
- Healthcare Technology
- Investment
Geography
- United States – Zelis, the target company, operates in the United States, focusing on the healthcare financial experience.
- United Arab Emirates – Mubadala Investment Company is based in Abu Dhabi, UAE, and leads the investment in Zelis.
Industry
- Healthcare Technology – Zelis operates within the healthcare technology sector, providing solutions that enhance the financial aspects of healthcare systems in the U.S.
- Investment – Mubadala Investment Company's involvement indicates the investment sector's strategic plays in the realm of healthcare technology.
Financials
- Unspecified – The financial terms of Mubadala's minority stake investment in Zelis have not been disclosed.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Zelis | Target Company | Company | A leading provider of healthcare technology solutions in the United States. |
| Mubadala Investment Company | Bidding Company | Company | An Abu Dhabi-based investment company leading the investment in Zelis. |
| Parthenon Capital | Majority Owner | Company | One of the majority owners of Zelis. |
| Bain Capital | Majority Owner | Company | One of the majority owners of Zelis. |
| Goldman Sachs & Co. LLC | Financial Advisor | Company | Provided financial advisory services to Zelis. |
| J.P. Morgan Securities LLC | Financial Advisor | Company | Provided financial advisory services to Zelis. |
| Kirkland & Ellis LLP | Legal Advisor | Company | Provided legal advisory services to Zelis. |
| Evercore | Financial Advisor | Company | Provided financial advisory services to Mubadala. |
| Akin Gump Strauss Hauer & Feld LLP | Legal Advisor | Company | Provided legal advisory services to Mubadala. |
| Norwest | Investor | Company | Part of the investment group in Zelis. |
| HarbourVest | Investor | Company | Part of the investment group in Zelis. |