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Ontario Teachers' Makes Investment in Omega Healthcare and Joins Private Equity at Goldman Sachs Alternatives as Co-Lead Investor

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Ontario Teachers' Pension Plan has made an investment in Omega Healthcare Management Services, joining Goldman Sachs Alternatives as co-lead investors. Omega, founded in 2003, is a technology-enabled healthcare management solutions provider with approximately 35,000 employees across 14 delivery centers in the US, India, Colombia, and the Philippines.

The company specializes in helping healthcare institutions improve financial performance and patient care through technology-enabled and clinically-led solutions. Goldman Sachs Alternatives has been an investor in Omega since 2019. The partnership aims to accelerate Omega's growth and strengthen its market position, particularly in Provider, Payer, and Pharma markets. Financial terms were not disclosed.

Il Piano Pensionistico degli Insegnanti dell'Ontario ha effettuato un investimento in Omega Healthcare Management Services, unendosi a Goldman Sachs Alternatives come co-lead investor. Omega, fondata nel 2003, è un fornitore di soluzioni per la gestione sanitaria abilitato dalla tecnologia, con circa 35.000 dipendenti distribuiti in 14 centri di lavoro negli Stati Uniti, in India, Colombia e Filippine.

L'azienda si specializza nell'aiutare le istituzioni sanitarie a migliorare le performance finanziarie e la cura dei pazienti attraverso soluzioni clinicamente guidate e abilitate dalla tecnologia. Goldman Sachs Alternatives è investitore in Omega dal 2019. La partnership mira ad accelerare la crescita di Omega e a rafforzare la sua posizione sul mercato, in particolare nei settori Provider, Payer e Pharma. I termini finanziari non sono stati divulgati.

El Plan de Pensiones de los Maestros de Ontario ha realizado una inversión en Omega Healthcare Management Services, uniéndose a Goldman Sachs Alternatives como inversores co-líderes. Omega, fundada en 2003, es un proveedor de soluciones de gestión sanitaria habilitadas por la tecnología, con aproximadamente 35,000 empleados en 14 centros de servicio en EE.UU., India, Colombia y Filipinas.

La empresa se especializa en ayudar a las instituciones de salud a mejorar el rendimiento financiero y la atención del paciente mediante soluciones lideradas clínicamente y habilitadas por tecnología. Goldman Sachs Alternatives ha sido inversor en Omega desde 2019. La asociación tiene como objetivo acelerar el crecimiento de Omega y fortalecer su posición en el mercado, particularmente en los mercados de Proveedor, Pagador y Farmacéutico. No se divulgaron los términos financieros.

온타리오 교사 연금 계획오메가 헬스케어 경영 서비스에 투자하며 골드만 삭스 얼터너티브스와 공동 리드 투자자로 합류했다. 2003년에 설립된 오메가는 기술 기반 헬스케어 관리 솔루션 제공업체로, 미국, 인도, 콜롬비아 및 필리핀에 걸쳐 약 35,000명의 직원을 두고 있다.

이 회사는 기술 기반과 임상 주도의 솔루션을 통해 의료 기관이 재무 성과와 환자 치료를 개선할 수 있도록 도움을 주는 데 전문화되어 있다. 골드만 삭스 얼터너티브스는 2019년부터 오메가에 투자하고 있다. 이번 파트너십의 목표는 오메가의 성장을 가속화하고 특히 제공자, 지불자 및 제약 시장에서의 시장 입지를 강화하는 것이다. 금융 조건은 공개되지 않았다.

Le Régime de rentes des enseignants de l'Ontario a investi dans Omega Healthcare Management Services, rejoignant Goldman Sachs Alternatives en tant qu'investisseurs co-leaders. Fondée en 2003, Omega est un fournisseur de solutions de gestion de la santé basé sur la technologie, avec environ 35 000 employés répartis dans 14 centres de service aux États-Unis, en Inde, en Colombie et aux Philippines.

L'entreprise se spécialise dans l'aide aux institutions de santé pour améliorer leur performance financière et la qualité des soins aux patients grâce à des solutions dirigées cliniquement et permettant l'utilisation de la technologie. Goldman Sachs Alternatives est un investisseur dans Omega depuis 2019. Le partenariat vise à accélérer la croissance d'Omega et à renforcer sa position sur le marché, en particulier dans les secteurs des fournisseurs, des payeurs et de la pharmacie. Les détails financiers n'ont pas été divulgués.

Der Pensionsfonds der Lehrer von Ontario hat in Omega Healthcare Management Services investiert und sich Goldman Sachs Alternatives als Co-Leads-Investoren angeschlossen. Omega, gegründet im Jahr 2003, ist ein technologiegestützter Anbieter von Lösungen im Gesundheitsmanagement mit etwa 35.000 Mitarbeitern in 14 Verteilzentren in den USA, Indien, Kolumbien und den Philippinen.

Das Unternehmen hat sich darauf spezialisiert, Gesundheitsinstitutionen dabei zu helfen, die finanzielle Leistung und die Patientenversorgung durch technologiegestützte und klinisch geleitete Lösungen zu verbessern. Goldman Sachs Alternatives ist seit 2019 ein Investor in Omega. Die Partnerschaft zielt darauf ab, Omegas Wachstum zu beschleunigen und die Marktposition insbesondere in den Bereichen Anbieter, Zahler und Pharma zu stärken. Finanzielle Einzelheiten wurden nicht bekannt gegeben.

Positive
  • Strategic investment from major institutional investors (Ontario Teachers' and Goldman Sachs)
  • Strong market presence with 35,000 employees across 14 delivery centers globally
  • Expansion potential in healthcare revenue cycle management sector
Negative
  • None.

Insights

This strategic investment marks a significant development in the healthcare technology solutions sector. The partnership between Ontario Teachers' and Goldman Sachs Alternatives in Omega Healthcare represents a powerful combination of institutional capital and sector expertise. The undisclosed deal structure suggests a substantial investment, given Ontario Teachers' joining as a co-lead investor alongside Goldman Sachs, which has been invested since 2019.

Omega's 35,000-employee workforce across 14 delivery centers indicates significant operational scale. The company's positioning in healthcare revenue cycle management (RCM) is particularly valuable, as this sector typically demonstrates resilient growth and recurring revenue characteristics. The involvement of both Ontario Teachers' and Goldman Sachs suggests confidence in Omega's ability to capture a larger share of the expanding healthcare RCM market through technological innovation and operational efficiency.

For Goldman Sachs (GS), this transaction represents a positive validation of their initial 2019 investment thesis and potentially enhances their alternatives business's healthcare technology portfolio. The deal structure, bringing in a sophisticated co-investor while maintaining their position, suggests a successful partial monetization while retaining upside potential.

The healthcare revenue cycle management (RCM) space is experiencing rapid transformation and Omega's technology-enabled solutions position it well in this evolving landscape. Their focus on intelligent automation platforms and clinically-led solutions addresses critical pain points in healthcare administration, where providers struggle with cost containment and operational efficiency.

The company's comprehensive service offering across Provider, Payer and Pharma markets creates multiple revenue streams and cross-selling opportunities. The global delivery model, spanning four countries, provides both cost advantages and operational resilience. The backing of two major institutional investors should accelerate Omega's technological capabilities, particularly in automation and AI-driven solutions, which are increasingly important in healthcare management.

New joint ownership will support Omega Healthcare in accelerating their growth journey

NEW YORK and TORONTO, Dec. 20, 2024 /PRNewswire/ - Ontario Teachers' Pension Plan ("Ontario Teachers'") makes investment in Omega Healthcare Management Services ("Omega" or "the Company") and joins Private Equity at Goldman Sachs Alternatives as Co-Lead investors. Omega is a leading technology-enabled healthcare management solutions provider. Terms of the transaction were not disclosed.

Omega Healthcare works with healthcare institutions to empower them to deliver exceptional care while enhancing financial performance. Omega aims to help its clients increase revenues, decrease costs, and improve the overall patient experience through their comprehensive portfolio of technology-enabled and clinically-led solutions. Founded in 2003, Omega Healthcare has approximately 35,000 employees across 14 delivery centers in the United States, India, Colombia, and the Philippines.

With its exceptional management team and the continued, anticipated growth for healthcare revenue cycle management, Omega is well-placed to further strengthen its position in the market and with clients. Both investors will draw from their proven track records across client acquisition and value creation efforts, while also continuing to enhance Omega's intelligent automation platform to accelerate the Company's performance.

Greg Nielsen, Senior Managing Director, Digital & IT Services, at Ontario Teachers' said: "While the U.S. healthcare industry continues to face complexities, we see considerable opportunity in technology-driven solutions that improve efficiencies and reduce costs for healthcare providers. We're excited to partner with Goldman Sachs Alternatives and work alongside Anurag, Sumit and the entire Omega team to support the company's continued growth."

Goldman Sachs Alternatives has been an investor in Omega since 2019. Harsh Nanda, Managing Director and Head of Technology Private Equity within Goldman Sachs Alternatives, commented: "It is a privilege to work with the Omega team and witness up-close the drive and dedication to deliver outstanding outcomes for their customers. Ontario Teachers' decision to join us as an investment partner is a testament to Omega management team's vision and exceptionality. We are excited to see what we can achieve together."

"We are thrilled to welcome Ontario Teachers' into the Omega family and value the renewed commitment from Goldman Sachs Alternatives," said Anurag Mehta, the Co-Founder and CEO of Omega. "This partnership reaffirms our commitment to leverage our unmatched domain expertise and our unique market-leading solutions to empower our clients. We look forward to accelerating development of our offerings across the Provider, Payer, and Pharma markets, to enable our customers to operate more effectively. I am incredibly proud of our management team for their relentless pursuit of excellence and grateful to our customers for their unwavering support."

Advisors
Goldman Sachs & Co. LLC and TripleTree acted as co-lead financial advisors to Omega, and Weil, Gotshal & Manges served as legal counsel to Omega.

RBC Capital Markets, LLC served as exclusive financial advisor to Ontario Teachers', and Latham & Watkins served as legal counsel.

About Ontario Teachers'
Ontario Teachers' Pension Plan Board (Ontario Teachers') is a global investor with net assets of $255.8 billion as at June 30, 2024. We invest in more than 50 countries in a broad array of assets including public and private equities, fixed income, credit, commodities, natural resources, infrastructure, real estate and venture growth to deliver retirement income for 340,000 working members and pensioners. 

Our more than 450 investment professionals operate in key financial centres around the world and bring deep expertise in a broad range of sectors and industries. We are a fully funded defined benefit pension plan and have earned an annual total-fund net return of 9.3% since the plan's founding in 1990. At Ontario Teachers', we don't just invest to make a return, we invest to shape a better future for the teachers we serve, the businesses we back, and the world we live in. For more information, visit otpp.com and follow us on LinkedIn.  

About Private Equity at Goldman Sachs Alternatives
Goldman Sachs (NYSE: GS) is one of the leading investors in alternatives globally, with over $500 billion in assets and more than 30 years of experience. The business invests in the full spectrum of alternatives including private equity, growth equity, private credit, real estate, infrastructure, sustainability, and hedge funds. Clients access these solutions through direct strategies, customized partnerships, and open-architecture programs.

The business is driven by a focus on partnership and shared success with its clients, seeking to deliver long-term investment performance drawing on its global network and deep expertise across industries and markets.

The alternative investments platform is part of Goldman Sachs Asset Management, which delivers investment and advisory services across public and private markets for the world's leading institutions, financial advisors and individuals. Goldman Sachs has more than $3.1 trillion in assets under supervision globally as of September 30, 2024.  

Established in 1986, Private Equity at Goldman Sachs Alternatives has invested over $75 billion since inception. The business combines a global network of relationships, unique insight across markets, industries and regions, and the worldwide resources of Goldman Sachs to build businesses and accelerate value creation across its portfolios.

Follow us on LinkedIn.

About Omega Healthcare
Founded in 2003, Omega Healthcare Management Services™ (Omega Healthcare) empowers healthcare organizations to deliver exceptional care while enhancing financial performance. We help clients increase revenues, decrease costs, and improve the overall patient-provider-payer experience through our comprehensive portfolio of technology-enabled and clinically led managed outsourcing solutions. Leveraging the Omega Digital Platform (ODP), customers benefit from the company's expertise in artificial intelligence (AI), generative AI, robotic process automation (RPA), bots, machine learning (ML), and natural language processing (NLP), to drive greater efficiency and accuracy.  Omega Healthcare has approximately 35,000 employees across 14 delivery centers in the United States, India, Colombia, and the Philippines. For more information, visit www.omegahms.com.

Contact Details

Ontario Teachers'
Dan Madge/James DeCosimo
Email: media@otpp.com

Goldman Sachs
Victoria Zarella
Email: victoria.zarella@gs.com

Omega Healthcare
Marykate Reese
Email: marykate.reese@omegahms.com

Cision View original content:https://www.prnewswire.com/news-releases/ontario-teachers-makes-investment-in-omega-healthcare-and-joins-private-equity-at-goldman-sachs-alternatives-as-co-lead-investor-302337307.html

SOURCE Ontario Teachers' Pension Plan

FAQ

What is the significance of Ontario Teachers' investment in Omega Healthcare for GS?

The investment brings Ontario Teachers' as a co-lead investor alongside Goldman Sachs Alternatives, strengthening Omega's financial position and growth potential in healthcare management solutions.

How many employees and delivery centers does Omega Healthcare have in 2024?

Omega Healthcare has approximately 35,000 employees across 14 delivery centers in the United States, India, Colombia, and the Philippines.

When did Goldman Sachs (GS) first invest in Omega Healthcare?

Goldman Sachs Alternatives has been an investor in Omega Healthcare since 2019.

What markets does Omega Healthcare plan to expand into with GS and Ontario Teachers' support?

Omega Healthcare plans to accelerate development of their offerings across the Provider, Payer, and Pharma markets.

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