SpendMend completes purchase of VIE Healthcare Consulting
SpendMend, a Grand Rapids, MI-based provider of cost reduction consulting to the healthcare industry, has completed its acquisition of VIE Healthcare Consulting, a Wall Township, NJ-based boutique consultancy with a similar specialization.
Founded in 1999, VIE helps healthcare providers reduce non-labor expenses – including IT services and products, materials, and third-party supplier costs. The consulting firm has approximately 20 professionals with expertise across cost reduction, data, technology, and healthcare business analysis.
VIE also has proprietary data and intelligence software for financial improvement. The firms says it has generated over $1 billion in non-labor cost savings and revenue improvements for its clients.
"Visibility within Purchase Services is a significant challenge for all hospitals and health systems," said Dan Geelhoed, founder, and CEO of SpendMend. "With VIE, we are now able to provide deeper visibility into the line-item detail which will help lead to material cost savings and stronger insight across many critical spend categories."
SpendMend was founded in 1993 and is a leading provider of tech-enabled cost-savings solutions to hospitals and health systems, pharmacies, and medical manufacturers. The firm has more than 150 employees and has supported over one-third of the top 100 health systems.
"For years, our primary mission has been to develop and facilitate strategies to help healthcare systems reduce costs, improve outcomes, and increase operating margins," said Lisa Miller, founder of VIE. "Joining the SpendMend team helps us to deliver our solution on a much larger scale, with the potential to deliver an even bigger impact to the healthcare market."
Private equity firm Morgan Stanley Capital Partners in March acquired a controlling interest in SpendMend. The PE firm has been pursing opportunities in cost containment within the healthcare sector, as demand for outsourced services in the area is expected to continue growing.
