#United States #Goldman Sachs #New York #Omega Healthcare #Ontario Teachers'

Ontario Teachers' Joins Forces with Goldman Sachs in Omega Healthcare Investment

In a strategic move aimed at enhancing healthcare management services, the Ontario Teachers' Pension Plan has invested in Omega Healthcare Management Services. This partnership positions Ontario Teachers' alongside Goldman Sachs Alternatives as co-lead investors in Omega. Founded in 2003, Omega has established itself as a formidable player in technology-enabled healthcare solutions, and this latest investment aims to fuel its growth trajectory.

Aiming for Exceptional Care

Omega Healthcare specializes in assisting healthcare institutions to not only deliver exceptional care to patients but also to optimize their financial performance. With a holistic approach to business, Omega provides innovative solutions that increase revenues, minimize expenses, and improve patient experiences. This is particularly important in the current healthcare landscape, where efficiency and quality of care are increasingly under scrutiny.

With approximately 35,000 employees scattered across 14 global delivery centers—located in the United States, India, Colombia, and the Philippines—Omega offers a comprehensive range of services tailored to meet the needs of healthcare providers across various sectors.

Benefits of the Investment

Both Ontario Teachers' and Goldman Sachs bring a wealth of experience in client acquisition and value creation to the table. Their involvement is expected to bolster Omega's capabilities, particularly in advancing its intelligent automation platform, which is poised to deliver even greater performance. The synergy between the two major investment firms presents a significant opportunity for Omega to broaden its client base and continue to innovate in the healthcare technology space.

Greg Nielsen, Senior Managing Director of Digital IT Services at Ontario Teachers', expressed optimism about the venture, emphasizing the remarkable potential of technology solutions within the U.S. healthcare system. He stated, "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."

Similarly, Harsh Nanda, Managing Director and Head of Technology Private Equity at Goldman Sachs Alternatives, highlighted the privilege of collaborating with Omega. He noted that Ontario Teachers' partnership serves as a testament to Omega's exceptional management team and its vision for the future.

Commitment to Growth and Development

Anurag Mehta, Co-Founder and CEO of Omega, welcomed Ontario Teachers' into the Omega family. He acknowledged that their shared vision will enable Omega to enhance its suite of services across the Provider, Payer, and Pharma markets, ensuring that clients can operate with greater efficiency.

Mehta remarked, "We look forward to accelerating the development of our offerings and am incredibly proud of our management team for their relentless pursuit of excellence. This partnership reaffirms our commitment to leveraging our unmatched domain expertise and our unique market-leading solutions to empower our clients."

Advisors Involved

In this substantial investment, Goldman Sachs & Co. LLC and TripleTree functioned as co-lead financial advisors to Omega, whereas RBC Capital Markets, LLC acted as the exclusive financial advisor for Ontario Teachers'. Legal counsel was provided by Weil, Gotshal & Manges for Omega, and Latham & Watkins for Ontario Teachers'.

About Ontario Teachers' Pension Plan

With net assets of approximately $255.8 billion as of June 30, 2024, Ontario Teachers' operates on a global scale, investing in a wide variety of assets including public and private equities, real estate, and more. Their goal is to generate retirement income for about 340,000 working members and pensioners.

About Goldman Sachs Alternatives

Goldman Sachs (NYSE: GS) stands as a leading player in alternative investments, with over $500 billion in assets and more than three decades of experience. Their private equity sector aims to deliver first-rate performance and value creation through a combination of deep market insights and robust client partnerships.

About Omega Healthcare

Omega Healthcare Management Services has carved a niche in the healthcare sector by providing managed outsourcing solutions designed to optimize financial performance. Utilizing cutting-edge technology, including AI and machine learning, Omega Healthcare empowers its clients to achieve better outcomes and operational efficiencies. The company continues to set its sights on redefining the healthcare management landscape.

This partnership marks a significant chapter in the evolution of Omega Healthcare, promising enhanced service delivery and an unwavering commitment to excellence in patient care.