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Scoop: New Mountain shells out $280M for Apixio

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Illustration: Aïda Amer/Axios

New Mountain Capital forked over around $280 million to buy health tech AI business Apixio from Centene, sources familiar with the deal tell Axios.

Why it matters: As health care strategics prune their portfolios, private equity is picking up the clippings.

  • New Mountain did not return multiple requests for comment.

Details: Centene expects the transaction to be neutral to 2023-adjusted EPS.

  • William Blair and Bass, Berry & Sims offered sell-side financial and legal counsel, respectively.
  • JP Morgan Securities was the buy-side adviser for New Mountain, while Ropes & Gray served as its legal counsel.

Flashback: Centene bought Apixio back in December 2020 for an undisclosed price after the company raised significant venture dollars.

How it works: Apixio compiles and analyzes large volumes of unstructured patient information, including medical charts and physician's notes, into insights and curated data.

What they're saying: "Apixio, an AI platform that enables value-based care would be better served under the ownership of New Mountain Capital," said Centene CEO Sarah London in a press release.

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