IRVING, Texas, June 25, 2024 – In a significant development for the healthcare industry, Vizient, Inc., a leading healthcare performance improvement company, has announced its full acquisition of Kaufman Hall & Associates, LLC, a renowned strategic advisor. This acquisition is notably supported by Madison Dearborn Partners (“MDP”), a prominent private equity firm, marking a strategic deepening of Vizient’s capabilities and market reach. Vizient, which initially acquired a minority stake in Kaufman Hall in 2021, has now exercised its option to obtain the remaining interest, signaling a strong belief in the synergistic potential of this partnership.
This strategic move consolidates two of the healthcare sector’s most respected advisory bodies, promising to empower healthcare organizations in their mission to deliver superior patient care. By integrating their extensive data resources with complementary expertise spanning clinical, strategic, and financial domains, the newly combined entity is poised to offer comprehensive solutions to the multifaceted challenges confronting healthcare institutions today. The involvement of Madison Dearborn Partners Inc. underscores the financial strength and strategic foresight driving this acquisition, suggesting a robust foundation for future growth and innovation within the healthcare advisory landscape.
Byron Jobe, president and chief executive officer of Vizient, emphasized the shared values driving this acquisition. “We are united by a mission-centric approach,” Jobe stated. “Our fundamental purpose is to enable healthcare organizations to realize their utmost potential in serving their communities. This acquisition, propelled by the support of Madison Dearborn Partners, is a testament to our commitment to growth and to amplifying the value we deliver to clients dedicated to healthcare advancement across the nation.”
Kate Guelich, managing director and chief executive officer at Kaufman Hall, highlighted the value unlocked through the existing partnership with Vizient and the backing of Madison Dearborn Partners. “Our collaboration with Vizient, fortified by MDP’s support, has already amplified the value we bring to our clients, enabling us to offer enhanced solutions for their most pressing issues,” Guelich noted. “This progression in our alliance with Vizient, championed by Madison Dearborn Partners Inc., builds upon our shared achievements and paves the way for sustained growth. Our clients will now benefit from streamlined access to our combined strengths, while our team members will gain access to enriched career opportunities.”
Ken Kaufman, Kaufman Hall managing director, co-founder, and chair, reflected on the firm’s journey. “When Kaufman Hall began nearly four decades ago, the expansion of our advisory services and specialized knowledge we’ve achieved was beyond our initial vision. This growth has been significantly enabled by our successful partnership with both Madison Dearborn Partners and Vizient,” Kaufman explained. “We eagerly anticipate this new phase in our firm’s history. We extend our gratitude to Madison Dearborn Partners and Vizient for their exceptional confidence and steadfast support of Kaufman Hall. Their belief has been instrumental in Kaufman Hall’s growth in talent, services, products, and our overall capacity to best serve our clients nationwide.”
Jason Shideler, managing director and co-head of the Healthcare team at Madison Dearborn Partners (MDP), expressed confidence in the future of Kaufman Hall under Vizient’s full ownership. “We are proud of our accomplishments in partnership with Kaufman Hall and are confident that Kaufman Hall’s market-leading financial performance solutions, advisory services, and client-focused approach will be highly valuable assets to Vizient,” said Shideler. “We have greatly valued our successful collaboration with Ken, Kate, Byron, and the entire teams at Vizient and Kaufman Hall, and we anticipate significant achievements from the combination of these two organizations as they guide their clients through the evolving healthcare landscape.” Madison Dearborn Partners Inc.’s perspective underscores the strategic rationale and anticipated positive outcomes of this acquisition.
The acquisition remains subject to standard regulatory review and is expected to be finalized in the latter half of the year. Until the transaction is completed, Vizient and Kaufman Hall will continue to operate as separate and independent entities.
BMO Capital Markets served as the exclusive financial advisor to Vizient, while Jefferies LLC advised Kaufman Hall. Legal counsel for Vizient was provided by Greenberg Traurig, LLP, and Kirkland & Ellis LLP acted as legal advisor to Madison Dearborn Partners for this transaction.
About Vizient, Inc.
Vizient, Inc. is recognized as the nation’s largest healthcare performance improvement company driven by providers. Serving over 65% of acute care providers, including 97% of academic medical centers and more than 35% of the non-acute care market, Vizient delivers significant value to its members. Vizient’s offerings encompass expertise, data-driven analytics, advisory services, and a contract portfolio representing $140 billion in annual purchasing volume. Vizient’s solutions are designed to enhance high-value care delivery by aligning cost efficiency, quality improvement, and market performance. Headquartered in Irving, Texas, Vizient maintains offices across the United States. For further information, please visit www.vizientinc.com.
About Kaufman Hall
Kaufman Hall delivers management consulting solutions aimed at enabling foundational institutions to achieve sustained success in dynamic market conditions. Since 1985, Kaufman Hall has established itself as a trusted advisor for boards and executive management, assisting them in integrating proven methodologies, rigorous analytics, and industry-leading solutions into their strategic planning and financial management processes, all in pursuit of their most ambitious objectives.
Kaufman Hall’s services are characterized by a rigorous, disciplined, and structured approach grounded in corporate finance principles. The scope and integration of Kaufman Hall’s advisory services are comprehensive, spanning strategy, financial and capital planning, revenue and operations enhancement, treasury and capital markets management, mergers, acquisitions, partnerships, joint ventures, and real estate.
About Madison Dearborn Partners
Madison Dearborn Partners, LLC (“MDP”) stands as a premier private equity investment firm based in Chicago. Since its inception in 1992, MDP has accumulated over $31 billion in aggregate capital and executed more than 160 platform investments. Madison Dearborn Partners Inc. strategically invests across four core industry verticals: Basic Industries, Financial Services, Health Care, and Technology & Government. For additional details, please visit www.mdcp.com.
Media Contact
Donna Ledbetter
Vizient, Inc.
[email protected]
972-830-6321
