Frontier Capital has made a growth equity investment in Clearwave, a provider of digital check-in, insurance eligibility, and patient payments systems to health systems and physician practices.
Clearwave’s products replace paper-based processes and are used by hospitals, health systems, urgent care, family, and multi-specialty providers to improve operational efficiencies by accelerating point-of-service collections, providing real-time insurance eligibility verification, and reducing patient check-in times.
The company’s products significantly reduce data errors resulting in reduced claims rejections from insurance providers. Clearwave, led by CEO Gerard White, currently serves over 500 healthcare facilities nationwide and is headquartered in Atlanta (www.clearwaveinc.com).
“As an early innovator in digital patient intake solutions, we believe our success is a direct outcome of our focus being in alignment with our healthcare providers – providing the best possible patient experience,” said Mr. White. “We are at an exciting inflection point and are thrilled to work with the well-respected team at Frontier, who deeply understand our sector and the opportunities in front of us to expand our offering, evolve the patient experience, and strengthen our foothold as a leader in the space.”
Frontier’s investment in Clearwave will be used to further its technology and expand its sales and marketing operations as well as company staff.
Frontier typically makes minority and majority equity investments of $10 million to $50 million in software and technology-enabled business services companies that have revenues from $10 million to $30 million. The firm is based in Charlotte, NC (www.frontiercapital.com).
“We are excited to partner with Gerard and the team at Clearwave to further their position as an innovator in patient engagement and intelligent patient intake solutions,” said Andrew Lindner, a partner at Frontier. “The process of checking in at a healthcare provider remains a frustratingly cumbersome and antiquated process which will inevitably change in this era of consumer-focused healthcare. Clearwave is leading the industry in improving the overall patient experience while accelerating payment collection cycles and reducing claims denials. We look forward to working together with Clearwave to make the process of accessing the healthcare system a more streamlined and enjoyable experience.”
Frontier’s investment in Clearwave comes from the firm’s oversubscribed $700 million Frontier Fund V, which closed in December 2017. The firm’s earlier fund closed in 2015 with $390 million of capital.
Healthcare Growth Partners (www.hgp.com), a Houston-based investment bank, was the financial advisor to Clearwave on this transaction.
© 2019 Private Equity Professional | March 26, 2019
