Toronto-based PointClickCare has raised a strategic minority investment from Hellman & Friedman and existing investor Dragoneer Investment Group.
The news comes nearly one month after PointClickCare completed its largest acquisition to date.
Sources speaking with The Globe and Mail indicated that JMI Equity, some unnamed individual investors, and PointClickCare employees sold between $600 million USD and $800 million USD of stock as part of the transaction. The Globe noted the deal valued the startup at a reported $4 billion USD.
According to an announcement of the investment from PointClickCare, Hellman & Friedman will work with the startup’s leadership team to grow the company and expand its product offerings. Following the deal, Sameer Narang, partner at Hellman & Friedman, will join PointClickCare’s board of directors. The startup’s founders, Mike and David Wessinger, will continue to control and operate the company.
San Francisco-based Dragoneer invested $186 million into the startup in early 2018 and invested $111 million in the company the year prior alongside JMI. JMI’s first investment into the company totalled $50 million and took place in 2011. Following the recapitalization, JMI will remain a shareholder in the startup, according to The Globe.
Founded in 1995, PointClickCare provides software solutions for the post-acute care and senior markets (LTPAC). PointClickCare’s cloud-based software was created for the LTPAC market to offer care delivery management, financial management, and access to patient data.
The news comes nearly one month after PointClickCare acquired Utah-based Collective Medical. That deal was estimated to cost between $500 million and $1 billion USD and represented the company’s largest acquisition to date. That deal is part of PointClickCare’s broader acquisition strategy.
In May, the company acquired Co-Pilot, an analytics solution developed by Consonus Healthcare, in a move to provide PointClickCare customers with more capabilities to optimize their performance through data analytics. In 2019, PointClickCare acquired QuickMAR, a medical management tool for the long-term and post-acute care market aiming to reduce medication errors and paperwork inefficiencies.
Image source PointClickCare.