{"id":528557,"date":"2021-08-16T16:13:21","date_gmt":"2021-08-16T20:13:21","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/streamline-health-expands-saas-portfolio-through-acquisition-of-avelead\/"},"modified":"2021-08-16T16:13:21","modified_gmt":"2021-08-16T20:13:21","slug":"streamline-health-expands-saas-portfolio-through-acquisition-of-avelead","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/streamline-health-expands-saas-portfolio-through-acquisition-of-avelead\/","title":{"rendered":"Streamline Health\u00ae Expands SaaS Portfolio Through Acquisition of Avelead"},"content":{"rendered":"<div class=\"mw_release\">\n<p align=\"center\">\n        <strong>Projected Accretive<\/strong><br \/>\n        <strong>Acquisition<\/strong><br \/>\n        <strong>To<\/strong><br \/>\n        <strong> E<\/strong><br \/>\n        <strong>xpand <\/strong><br \/>\n        <strong>Capabilities To I<\/strong><br \/>\n        <strong>mprove Healthcare Providers\u2019 Revenue Cycle<\/strong><br \/>\n        <strong> Performance<\/strong>\n      <\/p>\n<p align=\"justify\">\n        <strong>Atlanta, GA, Aug.  16, 2021  (GLOBE NEWSWIRE) &#8212; \u2013 <\/strong><br \/>\n        <a href=\"https:\/\/www.globenewswire.com\/Tracker?data=5ubAlg9ktVoNcUc5wFeWDnjsL5ya0nlT4gIdlDFLDw83IrBu5E1Z0nXpIiWWvDqwIwsOGqfiQUTwpihggJyLkW7O2z1V4YcpwbdsAIT_3vN9MjEsN2WbydAE2MTzcKVr\" rel=\"nofollow noopener\" target=\"_blank\">Streamline Health Solutions, Inc.<\/a> (NASDAQ: STRM) (\u201cStreamline\u201d) provider of the eValuator<sup>\u2122<\/sup>\u00a0Revenue Integrity Program to help healthcare providers proactively address revenue leakage and compliance exposure, today announced the acquisition of Avelead Consulting, LLC (\u201cAvelead\u201d), a recognized leader in providing solutions and services to improve Revenue Integrity for healthcare providers nationwide. The acquisition is expected to expand top-line revenue while accelerating generation of positive EBITDA, providing a foundation for accelerated growth.<\/p>\n<p align=\"justify\">Atlanta-based Avelead, founded in 2014, develops technology solutions that automate and improve the hospital revenue cycle, enabling hospitals to recognize lost revenue. The acquisition adds successful, SaaS solutions with an aggregate annual recurring revenue (ARR) run rate of $5.7 million as of June 30, 2021. Avelead\u2019s total revenue for the twelve months ended June 30, 2021 was $10.2 million, $4.7 million of which was from software subscriptions. Avelead\u2019s software solutions are complementary to Streamline\u2019s, with solutions positioned in the revenue cycle adjacent Streamline\u2019s eValuator pre-bill coding audit technology. These solution sets are currently utilized in some of the largest hospital systems nationwide<strong>.<\/strong><\/p>\n<p align=\"justify\">Terms of the deal include closing cash and stock consideration valued at $20 million, subject to customary post-closing adjustments for working capital, cash, debt and transaction expenses, and a performance-based earnout with an estimated value of $15 million. The acquisition is expected to be financed by a $10 million term loan from Bridge Bank, cash on Streamline\u2019s balance sheet and restricted shares of Streamline\u2019s common stock.<\/p>\n<p align=\"justify\">\u201cWe are pleased to add Avelead\u2019s talented team and innovative technologies to our growing company,\u201d stated Tee Green, President and Chief Executive Officer, Streamline Health. \u201cThis acquisition, which we expect will be immediately accretive, better positions us to fulfill our mission to help providers improve their financial performance by ensuring the capture of compliant revenue \u2013 and the mitigation of over billing risk \u2013 <em>before<\/em> a bill goes out the door. Avelead\u2019s solutions and services, designed to improve financial performance by capturing or regaining lost revenue, will complement and extend the value we can deliver to our customers.<\/p>\n<p align=\"justify\">We believe this acquisition accelerates our responsiveness to the market and amplifies our ability to proactively develop technologies to improve revenue cycle performance, imperative in a world where the complexities of healthcare provider documentation, coding and billing continue to increase.\u201d<\/p>\n<p align=\"justify\">\u201cWe have enjoyed significant growth since starting our company in 2014,\u201d stated Jawad Shaikh, Executive Director, Avelead. \u201cRecently we began exploring new avenues to accelerate that growth. The opportunity to join forces with Streamline with their market vision and senior leadership team was very attractive to us and our customers.\u201d<\/p>\n<p align=\"justify\">Following the acquisition, Avelead will be referred to as Avelead, a Streamline Health Company. Jawad Shaikh will continue to lead the organization as CEO and President of Avelead. The company will seek to leverage synergies in back-office functions.<\/p>\n<p align=\"justify\">\n        <strong><br \/>\n          <u>Transaction Details<\/u><br \/>\n        <\/strong><br \/>\n        <br \/>Streamline is acquiring Avelead on a cash-free and debt-free basis subject to customary post-closing adjustments for working capital, cash, debt and transaction expenses. Terms of the acquisition include closing consideration of $12 million of cash and $8 million of common stock of Streamline at a deemed price of $1.59 per share (the average closing price of Streamline stock for the thirty (30) trading days immediately preceding the closing date of the acquisition). The owners of Avelead will also be entitled to a performance-based earnout of cash and stock based on recurring SaaS revenues generated by Avelead\u2019s software solutions over the 24 month period following closing, with an estimated total value of $15 million. The future earnout payments will be paid in a combination of cash and Streamline common stock. Avelead\u2019s management will continue to lead the business and have been granted options to purchase an aggregate of 583,333 shares of Streamline stock at a strike price of $1.53 per share, vesting over the next three years.<\/p>\n<p align=\"justify\">\n        <a href=\"https:\/\/www.globenewswire.com\/Tracker?data=L4n_t6_VRLcKwqPKN_MjHRH6IaTtmxw9Im2-h_0IYSCWjVLi79xG-iXs7fkFUbMf2NEsC4-qVv_PSnIosL9pvuwQmZ1HZsVKWbBka7zRa0M=\" rel=\"nofollow noopener\" target=\"_blank\">Capital Clarity<\/a> served as the exclusive financial advisor to Streamline and assisted in structuring and negotiating the transaction on its behalf.<\/p>\n<p align=\"justify\">\n        <strong><br \/>\n          <u>About Streamline Health<\/u><br \/>\n        <\/strong><br \/>\n        <br \/>\n        <a href=\"https:\/\/www.globenewswire.com\/Tracker?data=5ubAlg9ktVoNcUc5wFeWDnjsL5ya0nlT4gIdlDFLDw8ICfaHVdTrydMGZVZQeYN8XbkF4JR6UN-D36ofQE_YNDOxEFs-JiWZ7UgW3Cum0EVVJ-8T5oZm1iRB3HhGyNec\" rel=\"nofollow noopener\" target=\"_blank\">Streamline Health Solutions, Inc.<\/a>\u00a0(NASDAQ: STRM) is a healthcare industry leader in capturing, aggregating, and translating enterprise data into knowledge \u2013 providing actionable insights that support revenue cycle optimization for healthcare enterprises. We deliver integrated solutions and analytics that enable providers to drive reimbursement in a value-based world. We share a common calling and commitment to advance the quality of life and the quality of healthcare \u2013 for society, our clients, the communities they serve, and the individual patient.<\/p>\n<p align=\"justify\">For more information, please visit our website at\u00a0<a href=\"https:\/\/www.globenewswire.com\/Tracker?data=RuV51_1h6j2YMmc_xPp23tM0bx1Lp9JcwY_lpqjg_xZ_BadighXw-IuzUegvvmWygpuKmfMSip12S0v5s9MKzNjg6JF4mvdiJH0_vmq-haM=\" rel=\"nofollow noopener\" target=\"_blank\">www.streamlinehealth.net<\/a>.<\/p>\n<p>\n        <strong><br \/>\n          <u>About <\/u><br \/>\n        <\/strong><br \/>\n        <strong><br \/>\n          <u>Avelead<\/u><br \/>\n        <\/strong>\n      <\/p>\n<p align=\"justify\">Avelead provides innovative technology solutions that automate and improve revenue cycle in healthcare. Avelead\u2019s SaaS cloud-based platform provides hospitals and health systems with solutions focused on key areas of Revenue Cycle: Patient Financial Services, Revenue Integrity, Revenue Optimization, and Cost Savings. Avelead\u2019s solutions allow providers to set the cruise control on their Clinically Driven Revenue Cycle. Avelead \u2013 Automating Revenue Cycle.<\/p>\n<p align=\"justify\">For more information about\u00a0Avelead\u2019s\u00a0services and solutions, visit\u202f<a href=\"https:\/\/www.globenewswire.com\/Tracker?data=vy2hrhQUhDd7aICs2tkh5_HF48WrcLmTmFKHGyeLjBD_BwAhm87JM966sNcA4nrLFLlFrjPVSpYVIYyitaQ-bQ==\" rel=\"nofollow noopener\" target=\"_blank\">www.avelead.com<\/a>\u00a0or email <a href=\"https:\/\/www.globenewswire.com\/Tracker?data=exCSTRbtVE-mfSlzXC-IPUxgez9UDkFd0Csk3M0fUMYawbeoh-2EvKtJtGbqzIxM6neH5zGjCrDDuT0Zs7Q7AA==\" rel=\"nofollow noopener\" target=\"_blank\">media@avelead.com<\/a>.\u00a0Connect with us on\u00a0<a href=\"https:\/\/www.globenewswire.com\/Tracker?data=ed7nnAQKPsL8SlZE80AgMuX1DG5iK2ZuHUAXaE-JV77TeCy4780LsGWl9QgoNAlHO8PeRj8sDC7Gj6m-l5GQeg==\" rel=\"nofollow noopener\" target=\"_blank\">Twitter<\/a>,\u00a0<a href=\"https:\/\/www.globenewswire.com\/Tracker?data=SkeWTY52OBua83hSuIJGNY-e6h8p9G0UZzuPQbnxn_0oYBlY9oyPfYlDm0sDiJEkmz8WXI6Fn8aS0PyLQ_gFiKDtdC-6gei1Vk_XeqexWD8=\" rel=\"nofollow noopener\" target=\"_blank\">LinkedIn<\/a>,\u00a0<a href=\"https:\/\/www.globenewswire.com\/Tracker?data=v555RVhG_j-EPmbFVGAbBWbp7345Wlo58SHqDdpfHlqJOmKGUlzhewxp-wiysZ5nKFlL9kHon4HshDVd6FihRD273Hf6QA1oaiP8cC3NTrw=\" rel=\"nofollow noopener\" target=\"_blank\">Instagram<\/a>, and\u00a0<a href=\"https:\/\/www.globenewswire.com\/Tracker?data=ZMH8zjp_cjpcxukiP5jq-G_jm-MnDzy0O46n_esd-oZbSBya_4KllIuIxkRxhPikLnOIrQ9Z4WkeAq8CFd6FAa7J9WhrsaNWB4mps0eN2Ag=\" rel=\"nofollow noopener\" target=\"_blank\">Facebook<\/a>.\u202f\u202f\u202f\u202f\u202f\u202f\u202f\u202f\u202f\u202f\u00a0<\/p>\n<p>\n        <strong><br \/>\n          <u>Safe Harbor statement under the Private Securities Litigation Reform Act of 1995<\/u><br \/>\n        <\/strong><br \/>\n        <strong>\u00a0<\/strong>\n      <\/p>\n<p align=\"justify\">\n        <em>Statements made by Streamline that are not historical facts are<\/em>\u00a0<em>forward-looking statements<\/em>\u00a0<em>that are<\/em>\u00a0<em>subject to certain risks, uncertainties and important factors that could cause actual results to differ materially from those reflected in the forward-looking statements included herein.<\/em>\u00a0<em>Forward-looking statements contained in this press release include, without limitation, statements regarding <\/em><em>Streamline<\/em><em>&#8216;s <\/em><em>acquisition of <\/em><em>Avelead<\/em><em>.\u00a0<\/em><em>These statements are subject to various risks and uncertainties, many of which are outside our control, including, among others, the potential failure to realize the intended benefits from the acquisition of <\/em><em>Avelead<\/em><em>, including, without limitation, the inability to realize the anticipated cost synergies in the anticipated amounts or within the contemplated timeframes<\/em><em> and the inability to realize the anticipated revenues, expenses, earnings and other financial results.<\/em><em>Additional factors that could cause <\/em><em>actual results to differ materially from forward-looking statements include<\/em><em>, but are not limited to, the timing of contract negotiations and execution of contracts and the related timing of the revenue recognition related thereto, the potential cancellation of existing contracts or clients not completing projects included in the backlog, the impact of competitive solutions and pricing, solution demand and market acceptance, new solution development<\/em>\u00a0<em>and enhancement of current solutions, key strategic alliances with vendors<\/em>\u00a0<em>and channel partners<\/em>\u00a0<em>that resell <\/em><em>Streamline<\/em><em>&#8216;s solutions, the ability of <\/em><em>Streamline<\/em><em> to control costs, the effects of cost-containment measures implemented by <\/em><em>Streamline<\/em><em>, availability of solutions from third<\/em>\u00a0<em>party vendors, the healthcare regulatory environment, potential changes in legislation, regulation and government funding affecting the healthcare industry, healthcare information systems budgets, availability of healthcare information systems trained personnel for implementation of new systems, as well as maintenance of legacy systems, fluctuations in operating results, effects of critical accounting policies and judgments, changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board or other similar entities, changes in economic, business and market conditions impacting the healthcare industry generally and the markets in which <\/em><em>Streamline<\/em><em> operates and nationally, and <\/em><em>Streamline<\/em><em>&#8216;s ability to maintain compliance with the terms of its credit facilities, and other risks detailed from time to time in <\/em><em>Streamline\u2019s<\/em><em> filings with the U. S. Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management&#8217;s analysis only as of the date hereof. <\/em><em>Streamline<\/em><em> undertakes no obligation to publicly release the results of any revision to these forward-looking statements, which may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except as required by law.<\/em><\/p>\n<p>\n        <strong>Company Contact:<\/strong><br \/>\n        <br \/>Jacob Goldberger<br \/>Director, Investor Relations and FP&amp;A<br \/>(303) 887-9625<br \/><a href=\"https:\/\/www.globenewswire.com\/Tracker?data=ONoa_Vg2-PBlpTas7uuYEhXao8MO5z_owvRI6iHM2svwxQlJTlaMBIEMZDd0cWHEBjebUif5QTUauSQxuiJe0v59pJ4VdoT3B7Rld8KA8DnPBM_oVQoYPTNA6HUQBhMK\" rel=\"nofollow noopener\" target=\"_blank\">Jacob.goldberger<\/a><a href=\"https:\/\/www.globenewswire.com\/Tracker?data=5H6TIaGl_xLQCw0kw2nzBBE2TBjka68F-ujxrU1G8Uf0U6PqM0HYu-QNXiTpnQEE9f-MZDv-tSXzrkiWc9EQIHAgdaYe838_VT9eY9TSGDLUrZsh52DFbS-IhBe88Vmv\" rel=\"nofollow noopener\" target=\"_blank\">@streamlinehealth.net<\/a><\/p>\n<p \/>\n      <img decoding=\"async\" class=\"__GNW8366DE3E__IMG\" src=\"https:\/\/www.globenewswire.com\/newsroom\/ti?nf=ODMxMDEwNyM0MzYxMzA2IzUwMDA3MTUyMg==\" \/><br \/>\n      <br \/>\n      <img decoding=\"async\" src=\"https:\/\/ml.globenewswire.com\/media\/NjUyZmM5MGYtNWUzYy00NjJlLWE2NDItNjcyN2YyYjk2N2UzLTUwMDA3MTUyMg==\/tiny\/Streamline-Health-Solutions-In.png\" \/>\n    <\/div>\n<div class=\"mw_contactinfo\"><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Projected Accretive Acquisition To E xpand Capabilities To I mprove Healthcare Providers\u2019 Revenue Cycle Performance Atlanta, GA, Aug. 16, 2021 (GLOBE NEWSWIRE) &#8212; \u2013 Streamline Health Solutions, Inc. (NASDAQ: STRM) (\u201cStreamline\u201d) provider of the eValuator\u2122\u00a0Revenue Integrity Program to help healthcare providers proactively address revenue leakage and compliance exposure, today announced the acquisition of Avelead Consulting, LLC (\u201cAvelead\u201d), a recognized leader in providing solutions and services to improve Revenue Integrity for healthcare providers nationwide. The acquisition is expected to expand top-line revenue while accelerating generation of positive EBITDA, providing a foundation for accelerated growth. Atlanta-based Avelead, founded in 2014, develops technology solutions that automate and improve the hospital revenue cycle, enabling hospitals to recognize lost revenue. The acquisition adds successful, SaaS &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.marketnewsdesk.com\/index.php\/streamline-health-expands-saas-portfolio-through-acquisition-of-avelead\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Streamline Health\u00ae Expands SaaS Portfolio Through Acquisition of Avelead&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-528557","post","type-post","status-publish","format-standard","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Streamline Health\u00ae Expands SaaS Portfolio Through Acquisition of Avelead - Market Newsdesk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.marketnewsdesk.com\/index.php\/streamline-health-expands-saas-portfolio-through-acquisition-of-avelead\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Streamline Health\u00ae Expands SaaS Portfolio Through Acquisition of Avelead - Market Newsdesk\" \/>\n<meta property=\"og:description\" content=\"Projected Accretive Acquisition To E xpand Capabilities To I mprove Healthcare Providers\u2019 Revenue Cycle Performance Atlanta, GA, Aug. 16, 2021 (GLOBE NEWSWIRE) &#8212; \u2013 Streamline Health Solutions, Inc. (NASDAQ: STRM) (\u201cStreamline\u201d) provider of the eValuator\u2122\u00a0Revenue Integrity Program to help healthcare providers proactively address revenue leakage and compliance exposure, today announced the acquisition of Avelead Consulting, LLC (\u201cAvelead\u201d), a recognized leader in providing solutions and services to improve Revenue Integrity for healthcare providers nationwide. The acquisition is expected to expand top-line revenue while accelerating generation of positive EBITDA, providing a foundation for accelerated growth. Atlanta-based Avelead, founded in 2014, develops technology solutions that automate and improve the hospital revenue cycle, enabling hospitals to recognize lost revenue. 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