Private equity firm Apax Partners LLP is exploring a sale of health IT company TriZetto Corp for a reported $3 billion including debt, Thomson Reuters reports. JP Morgan Chase & Co has been hired by the firm to run the auction hoping to cash in on the wave of payors and providers seeking technology solutions to cut costs. TriZetto is also targeting information technology consulting company Cognizant Technology Solutions Corp as potential buyers.
TriZetto provides information technology solutions, including care management and the administration of benefits, to the healthcare industry. The company says it reaches 245,000 healthcare providers, representing more than half of the insured population in the United States.
Apax bought TriZetto back in 2008 for $1.4 billion and reported 12-month revenue of $682 million to the end of March, according to Moody’s Investors Service Inc. Apax and Trizetto has declined to comment.
