Upon completion of the deal, Inovalon will operate as a private company from its headquarters in Bowie, Maryland

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Inovalon CEO Keith Dunleavy will continue to hold a significant stake in the company. (Credit: Darko Stojanovic/Pixabay)

Nordic Capital-led consortium has signed an agreement to acquire cloud-based healthcare platforms provider Inovalon for an enterprise value of nearly $7.3bn.

The Inovalon ONE Platform provided by the company offers the capability to interconnect with the healthcare ecosystem, aggregate and analyse data in real-time. Insights delivered by the cloud-based platform are said to boost the impact at the point of care.

Following the completion of the transaction, Inovalon will operate as a private company focusing on innovation and global market development. It will continue to run from its headquarters in Bowie, Maryland.

Insight Partners, 22C Capital, and Inovalon founder and CEO Keith Dunleavy and certain Class B stockholders of Inovalon are the others partners in the consortium that is acquiring the company.

Dunleavy will continue to hold a significant stake in Inovalon and will serve as the CEO of the company.

Dunleavy said: “We are excited to enter the next chapter in Inovalon’s journey together with such great partners as Nordic Capital, Insight Partners, and 22C Capital. Their significant experience in the areas of software, data, and healthcare is key.

“This, together with their longer-term focus, operational experience, and international perspective, is an exciting combination for what we see in front of us. We look forward to continuing our mission, together with our greatly appreciated customers, to empower data-driven healthcare.”

Consisting of nearly 100 individual proprietary technology toolsets and deep data assets, the Inovalon ONE Platform supports the operationalisation of large-scale, data-driven healthcare initiatives.

In June this year, US-based retailer Walmart extended the use of the Inovalon ONE platform for its network of pharmacies. The extension move is part of its data-driven strategy to improve outcomes for its customers.

Inovalon’s technology platforms and analytics are supported by data related to over one million physicians, 584,000 clinical facilities, 338 million Americans, and 63 billion medical events.

Subject to the satisfaction of customary closing conditions, including the receipt of US antitrust approval, the transaction is expected to be closed by the end of this year or early 2022.

J.P. Morgan Securities is serving as financial advisor to Inovalon on the transaction, while Latham & Watkins is acting as its legal advisor.