Francisco Partners to Buy IBM’s Health Care Data, Analytics Assets

Investment firm Francisco Partners has agreed to acquire IBM’s (NYSE: IBM) health care data and analytics assets for an undisclosed sum and expects the transaction to conclude in the second quarter of 2022, pending regulatory approvals and other customary closing conditions.

The assets are part of IBM’s Watson Health business and include Health Insights, Clinical Development, MarketScan, Micromedex, Social Program Management and other data platforms and imaging software offerings, the companies said in a joint release published Friday.

Tom Rosamilia, senior vice president of IBM’s software, said the transaction will enable IBM to focus more on platform-based hybrid cloud and artificial intelligence strategy.

“IBM remains committed to Watson, our broader AI business, and to the clients and partners we support in healthcare IT. Through this transaction, Francisco Partners acquires data and analytics assets that will benefit from the enhanced investment and expertise of a healthcare industry focused portfolio,” added Rosamilia.

The acquired assets will be combined and operate as a standalone company. Under the deal’s terms, members of the current management team will keep their roles within the independent company that will focus on supporting existing customers in life sciences, payer, government health and human services, provider and imaging sectors.

Francisco Partners has invested in more than 400 technology companies and its past and current investments in the health care sector include Availity, Capsule, eSolutions, GoodRx, Qgenda, Landmark, Zocdoc and Trellis.

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