New York, NY (January 6, 2022) – WindRose Health Investors, LLC (“WindRose”), the New York-based healthcare private equity firm, announced today that it has completed the sale of basys, LLC (“basys”) to BPOC and Five Arrows Capital. Following the sale, basys merged with Innovative Software Solutions Inc. (“ISSI”) to form a leading multiemployer benefits administration solutions provider. Harbour Benefits Holdings, Inc., the former owner of ISSI and the parent company of Zenith American Solutions, will retain an investment in the new organization. Both basys and ISSI will continue to offer their respective solutions and operate under the basys and ISSI brands. Terms of the transaction were not disclosed.
basys is a provider of specialized business administration software for the Taft-Hartley community, providing technology solutions for fund offices, national multiemployer plans, and third party administrators across the United States and Canada. basys software suites, web-based portals and hosting services deliver automated and cost-effective solutions to accurately and efficiently serve millions of members on a platform built for data security, regulatory compliance, and a lower total cost of ownership.
“The sale of basys creates an exceptional outcome for the company and our investors,” said CJ Burnes, Partner of WindRose. “We are thrilled to have had the opportunity to partner with the company and its management team as they expanded their suite of products and maximized efficiency for their customers and members. We look forward to seeing how the combination of the two companies further revolutionizes and modernizes the industry.”
“WindRose shared our vision and commitment to growing our business and investing in our technology platform, and we are thankful to have had them as a partner,” said Jenny Morgan, President and CEO of the new company. “The new organization will be able to provide the full suite of solutions that our customers need to service their members, and our combined team of experienced professionals will continue to develop services and solutions tailored for this market.”
Latham & Watkins acted as legal advisor to Windrose Health Investors, and Harris Williams acted as financial advisor. Paul Hastings and Robert W. Baird acted as legal and financial advisors to BPOC and Five Arrows Capital Partners.
Since 1977, basys has offered specialized business administration software for the Taft-Hartley community, providing technology solutions that enable Fund Offices, national multiemployer plans, and TPAs to accurately and efficiently serve millions of members – reducing the time and cost of administering health and retirement benefits. basys software suites, web-based portals and hosting services deliver cost-effective, and reliable health and pension benefits processing, fund office administration, reporting and member service on a platform built for data security, regulatory compliance, and a lower total cost of ownership. For more information visit https://www.basys.com/.
WindRose Health Investors, LLC (“WindRose”) makes equity investments in companies that operate within the services sectors of the healthcare industry. The firm focuses on companies with profitable business models and a demonstrated ability to deliver cost-effective solutions. WindRose is based in New York City and invests in companies throughout the United States. For more information, please email WindRose at firstname.lastname@example.org.
Founded in 1996, BPOC is a Chicago-based private equity firm that invests exclusively in healthcare companies and is one of the nation’s most experienced investors in the industry having raised five funds with total capital commitments of nearly $1.8 billion. BPOC has invested in numerous provider, manufacturing, outsourcing, distribution, and information technology companies through growth equity, management buyouts, and leveraged recapitalizations. For more information, please visit www.bpoc.com.
About Five Arrows Capital Partners
Five Arrows Capital Partners (FACP) is the US Corporate Private Equity arm of Rothschild & Co’s Merchant Banking business. Merchant Banking manages over $19 billion globally which includes approximately $5 billion in corporate private equity, as well as a series of funds dedicated to senior and junior credits, primary and secondary fund investing and co-investments, with offices in Paris, London, New York, Los Angeles, and Luxembourg. FACP’s investment strategy is focused primarily on the lower end of the US middle market, comprised of companies with total enterprise values ranging from $75 million to $500 million. We target companies with highly defensible market positions; strong management teams; business models with high visibility of organic unit volume growth and strong free cash flow conversion; and multiple operational levers that can be used to unlock latent value. Like the other Five Arrows corporate private equity funds, FACP focuses on the data and software, technology-enabled business services and healthcare sectors. For more information, please visit www.rothschildandco.com/en/merchant-banking/.
For nearly four decades, Innovative Software Solutions, Inc. (ISSI) has been a leading provider of benefit administration technology solutions and services. With more than 280 systems installed in the U.S. and Canada, ISSI supports organizations throughout the multiemployer market, including Fund Offices, District Councils, and Third-Party Administrators. With its proven track record of successful software deployments, and complex computer system implementations for health/welfare plans, defined benefit/contribution plans, 401(k) plans, SUB plans, as well as cutting-edge solutions for EDI/electronic claims processing, 99% of its client organizations continue to select ISSI as their vendor of choice. For more information, visit www.issisystems.com.