André Hoffmann Acquires Expanded Position in MedAssurant and Joins Board of Directors
BOWIE, Maryland. / ANNAPOLIS, Maryland. September 17, 2008 – MedAssurant, Inc., a provider of medical clinical quality, care management, and financial efficiency improvement solutions empowered by advanced healthcare data analytics, announced today that André Hoffmann, a private investor and vice-chairman of Roche Holdings Ltd, has directed the purchase of an additional block of MedAssurant Common Stock for USD$175 million, increasing his position in the Company to just over 15%, and making Mr. Hoffmann the largest outside shareholder of the Company.
Mr. Hoffmann first acquired shares in MedAssurant in 2005 and then again in 2006 when the Company underwent select private investments to support several years of triple digit growth. With MedAssurant carrying no long-term debt and no longer seeking growth capital, Hoffmann’s purchase of shares announced today was undertaken as part of a transaction involving the purchase of shares from existing shareholders of the Company and was designed to preserve optimal flexibility for the Company’s continued growth. Further to the transaction and as part of this stock purchase, MedAssurant announced that Mr. Hoffmann has joined the MedAssurant Board of Directors.
In recent years, MedAssurant has risen as a leader in medical data analytics and the applications of advanced predictive clinical insight systems. These capabilities, in conjunction with a nationwide clinical data abstraction and intervention infrastructure, have enabled the Company to deliver a highly differentiated capability, focused on improving healthcare quality, outcomes and efficiency. At the core of MedAssurant’s approach is the Company’s ability to intelligently target and aggregate data which is believed to be most pertinent to achieving healthcare improvement initiatives. Going far beyond other industry solutions which depend solely on what is referred to as administrative data, the MedAssurant approach has broadly expanded the healthcare data utilized in such analytics. With systems that can precisely target, aggregate, and verify data ranging from standard medical claims, EMR systems, and paper medical charts, to pharmacy entries, and HRA initiatives, MedAssurant has achieved not only an ability to efficiently identify and aggregate relevant data, but also achieve highly valuable insight and impact. The expanded data sets and resulting analytical capabilities are then able to inform what becomes a more sophisticated set of solution tools aimed at the ultimate goals of clinical quality outcome, care management, and financial efficiency improvement.
“The entirety of the executive management of the Company is greatly excited with the arrival of André to our board,” commented Dr. Keith Dunleavy, President and Chairman of MedAssurant. “As a Vice Chairman of Roche, a world leading healthcare company with a broad spectrum of healthcare and medically-related innovations, André is a highly valued, respected, and appreciated addition to MedAssurant. With a focus on success and leadership in the healthcare marketplace, we are very pleased and honored to have André joining us to such extent.”
“I have no doubt that healthcare data aggregation and analytics are keystones to the industry’s desire to advance healthcare quality and cost effectiveness – from improved disease management programs and early diagnostic detection algorithms, to more efficient drug design processes and more comprehensive outcomes analysis,” said André Hoffmann. “Throughout our tracking of the progress made by MedAssurant in these areas, I have been wholeheartedly impressed with the nature of their healthcare data analytical capabilities and see them to be notably more advanced than any other firm within the healthcare data landscape. Further still, perhaps, has been the speed with which they have achieved and continue their march of innovation and systems expansion while maintaining a clear care for the ideals and goals of healthcare. I am very pleased to be joining the board of MedAssurant and serving within their continued achievement.”
Results from the implementation of MedAssurant solutions have been dramatic. The Company’s highly data driven disease management solution, known as CCS Advantage™, has demonstrated greater than 15% decreases in total cost within six months of member enrollment. Electronic data and care support platforms focused on providing practitioners insight into patient assessment gaps, known as MedAssurant’s Electronic Patient Assessment Solution Suite (or ePASS™), have demonstrated the ability to facilitate the closure of more than 60% of identified clinical assessment or care management gaps – resulting not only in improvements in quality of care, but also more than a 20% decrease in patient presentations to acute care facilities when compared to control groups. Broader systems aimed at increasing patient disease and comorbidity identification and data accuracy have shown corresponding improvements typically ranging from 4% to 9% – resulting in significant improvements in patient needs analysis, disease trends, and risk adjustment data accuracy. The Company’s sophisticated patient and disease identification, stratification, assessment, and prioritization systems (known as ISAP™) allows for healthcare organizations to have the right patients in the right programs – speeding improvement and avoiding waste. The Company’s Integrated Data Collection Tool (iDCT™), in combination with MedAssurant’s Site Review Support Application (SRSA™), enables accelerated clinical data collection and verification for outcomes analysis, pharmaceutical studies, and broad data verification initiatives – typically decreasing clinical studies and pharmaceutical trials to weeks from months. Altogether, the MedAssurant suite of solutions delivers a highly integrated suite of end-to-end capabilities designed to improve the intelligence and efficiency of healthcare solutions in a truly turnkey fashion.
-- The investment bank of Goldman, Sachs & Co. and the law firm of Skadden, Arps, Slate, Meagher & Flom LLP served as advisors to MedAssurant in association with this transaction. Cape Capital AG and Massellaz SA served as advisors to André Hoffmann in association with this transaction.
About André Hoffmann
André Hoffmann serves as Vice Chairman of the board of Roche Holding Ltd., one of the world’s leading health care companies. In addition Mr. Hoffmann serves as Vice Chairman of Givaudan SA, the leading flavor & fragrance company in the world. Mr. Hoffmann studied economics at the University of St. Gallen and holds a Master of Business Administration from INSEAD. In 1983, he became head of administration of the Station Biologique de la Tour du Valat in France. In 1985, Mr. Hoffmann joined James Capel and Co. Corporate Finance Ltd, London as an associate at the Continental Desk, and later became Manager for European Mergers and Acquisitions. In 1991, he joined Nestlé UK, London. In 1999, Mr. Hoffmann established Massellaz SA, a multi family office focused on private asset management and strategic investments.
Other directorships include:
• Nemadi Investment Advisors Ltd., Chairman of the Board
• Living Planet Fund Management Co., Chairman of the Board
• Massellaz SA, Chairman of the Board
• Brunswick Leasing Ltd., Member of the Board
• Amazentis SA, Member of the Board
• Glyndebourne Productions Ltd., Member of the Board
Other involvements include:
• WWF International, Gland, Switzerland, Vice Chairman
• Fondation les Corbillettes pour l'Aide aux enfants handicapés mentaux, Geneva, Switzerland, Treasurer
• Stiftung Patronatskomitee Kunstmuseum Basel, Switzerland, Founding Member
• Tate Gallery, London, United Kingdom, International Council member
• Fondation Pro Valat, Basel, Switzerland, Chairman of the Board
• Fondation Sansouire, Arles, France. Vice Chairman of the Board
• Takh, "Association pour le Cheval de Przewalski", Arles, France, Board Member
• FIBA, Fondation Internationale du Banc d'Arguin, Basel, Switzerland, Chairman of the Board
• International Institute for Strategic Studies, London, United Kingdom, Member of the Executive Committee
• Paul Sacher Stiftung, Basel, Switzerland, Member of the Executive Committee
• Fondation Dr Henri Dubois-Ferrière Dinu Lipatti, Geneva, Switzerland, Board Member
• Global Footprint Network, Oakland, USA, Board Member
• Chatham House Panel of Senior Advisers, London, United Kingdom, Member
• ISIS International Sustainability Innovation Council of Switzerland, Zurich, Switzerland, Member
About MedAssurant, Inc.
MedAssurant, Inc. (www.medassurant.com) is a leading medical informatics service provider focused on the importance of healthcare data and its ability to drive dramatic, objective improvements in clinical and quality outcomes, care management, and financial efficiencies throughout the healthcare community. Proprietary healthcare datasets, abstraction, and analysis capabilities, combined with a national infrastructure of leading-edge technology, clinical prowess, and deep human resources empowers MedAssurant’s advanced generation of healthcare assessment and improvement through highly informed solutions. In partnership with many members of the healthcare community, MedAssurant provides local, regional, and nationwide health insurance plans, hospitals, pharmaceutical companies, regulatory bodies, government organizations, physician organizations, and their many patients with powerful turnkey solutions to address matters of clinical outcomes analysis, quality of care, cost improvement, risk adjustment, disease management, utilization, and healthcare data verification. Founded in 1998, MedAssurant provides services to nearly 200 healthcare organizations in all 50 states, Puerto Rico, and the District of Columbia, and has approximately 1,800 employees. Driven by a mission to improve today’s healthcare landscape, the employees of MedAssurant proudly apply care, ingenuity, and dedication to delivering a new approach to healthcare – one driven by data and insight – one resulting in meaningful action.
Merritt Group on behalf of MedAssurant, Inc.
Cape Capital AG on behalf of André Hoffmann
Phone: +41 43 888 60 66
Massellaz SA on behalf of André Hoffmann
Phone: +41 21 804 85 80
Posted: September 2008