A Medical Device Daily

Broadlane (Dallas), a cost management company for healthcare providers, has acquired Healthcare Performance Partners (HPP; Nashville), a consulting group offering Lean Healthcare and Six Sigma consulting services, training, and tools. Terms of the deal were not disclosed.

Post-transaction, HPP will continue to be led by its founder, Charles Hagood, who will be president of the standalone company; staff and operations will remain based in its Nashville-area headquarters. While HPP will become a wholly owned subsidiary of Broadlane, neither current HPP clients nor prospective ones need to have a relationship with Broadlane or its traditional GPO services.

"Acquiring HPP is a significant step in increasing our product offering as clients look to improve clinical outcomes, reduce costs, improve satisfaction of both the patient and caregiver alike while implementing process improvements," said Tom Sherry, chief operating officer, Broadlane. "While Lean and Six Sigma have long been cornerstones of manufacturing, healthcare providers are only now beginning to more broadly implement these approaches to remove waste and cost from their systems while improving quality of care."

"With HPP, we are able to provide Broadlane clients with even more tools and services needed to lower cost and improve the bottom line in new ways that complement our traditional methods," said Sherry. "For example, HPP has helped providers reduce or eliminate infection rates from common procedures such as central line insertion, which in turn has reduced costly readmissions. They have also improved throughput leading to less waiting by patients, as well as better utilization of capital equipment and facilities. Many HPP consulting projects improve satisfaction of patients and caregivers alike, and the improvements impact top- and bottom-line financial results."

In other dealmaking news:

• Omega Healthcare Investors (Hunt Valley, Maryland) has entered into a securities purchase agreement with CapitalSource and several of its affiliates to purchase entities owning 80 long term care facilities for about $565 million. The purchase price includes a purchase option to acquire entities owning an additional 63 facilities for about $295 million.

At the first closing, the company will acquire entities owning 40 facilities and the option to purchase entities owning 63 additional facilities for about $294.4 million, consisting of $184.2 million in cash and a promissory note; $50.8 million in Omega common stock; and assumption of $59.4 million of 6.8% debt associated with the acquired properties maturing on Dec. 31, 2012. The first closing is expected to occur on Dec. 31, 2009 subject to the terms and conditions of the securities purchase agreement.

• Quick-Med Technologies (Gainesville, Florida) has begun to receive royalty payments for its NIMBUS non-leaching antimicrobial technology. The royalty payment is from Quick-Med licensee Derma Sciences for initial sales of its Bioguard dressings.