athenahealth buys SaaS provider for $22.3M

Watertown, Mass.-based athenahealth, a provider of Internet-based business services for physician practices, has signed a definitive agreement to acquire Anodyne Health Partners, which develops Software-as-a-Service (SaaS) business applications for healthcare providers. The transaction, including a cash payment of $22.3 million, is expected to close this month.

Anodyne currently services large and enterprise medical group clients with a proprietary Web-based business intelligence software platform, Anodyne Intelligence, and related services, athenahealth said. The platform allows an organization to view all facets of its revenue cycle and to access and extract critical operational and administrative information from various data systems.

Terms of the merger agreement include a cash payment of $22.3 million with the potential for additional consideration of up to $7.7 million, based on the achievement of certain business and financial milestones. The Alpharetta, Ga.-based Anodyne will operate as a separate unit of athenahealth with its own brand identity, according to athenahealth.