AMN Healthcare scoops up data analytics firm Avantas for $16.5M

Healthcare workforce and staffing company AMN Healthcare Services has acquired Avantas, a data analytics and predictive modeling software company, for $16.5 million in a move that shows the expanding use of data in healthcare. Avantas, based in Omaha, provides technology and services that help clients “optimize and plan their clinical workforce to cost-effectively handle patient […]

Healthcare workforce and staffing company AMN Healthcare Services has acquired Avantas, a data analytics and predictive modeling software company, for $16.5 million in a move that shows the expanding use of data in healthcare.

Avantas, based in Omaha, provides technology and services that help clients “optimize and plan their clinical workforce to cost-effectively handle patient demand,” according to an announcement. The company’s SaaS-based products allow for predictive analytics to be applied to workforce management and will help contain labor costs, the companies said.

“With labor representing more than half of costs at healthcare facilities, providers are in great need of accurate, dependable analytics and information to make critical forecasting and staffing decisions,” Susan Salka, president and CEO of AMN Healthcare, said in a statement.

The purchase price includes an initial payment of $16.5 million, with an earn-out potential of up to $8.5 million based on future operating performance. The acquisition was funded out of cash on hand and borrowings for AMN, based in San Diego.

Avantas is projected to have 2014 revenues of approximately $8 million,according to publicly traded AHM (NYSE: AHS),. Avantas was acquired from Catholic Health Initiatives/Alegent Creighton Health.

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