Fitch: Nascent US Healthcare IT Sector Positioning for Value

▤ Summary

Health information technology (HIT) vendors will look for innovative HCIT companies to offer a more complete suite of services. These innovative targets typically come with a higher price tag and may stretch balance sheets as HIT standards remain undefined. The recently announced JV between McKessons IT business and Change Healthcare will create a scaled player that can offer end-to-end solutions in a reimbursement environment with growing complexity in regards to value-based care initiatives. Deals of size have been ramping up in the space like nThrive, the early 2016 combination of Precyse and MedAssets revenue cycle management business. The above article originally appeared as a post on the Fitch Wire credit market commentary page.

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