IBM announced it will be selling its healthcare data and analytics business, currently a key part of Watson Health, to investment firm Francisco Partners. The assets acquired by Francisco Partners include extensive and diverse data sets and products, including Health Insights, MarketScan, Clinical Development, Social Program Management, Micromedex, and imaging software.
The transaction is expected to close in the second quarter of this year and is subject to customary regulatory clearances. Financial terms of the transaction were not disclosed. IBM announced it will focus its AI strategy on ‘platform-based hybrid cloud’.
Since its launch over 20 years ago, Francisco Partners has invested in over 400 technology companies, making it one of the most active and longstanding investors in the technology industry. Francisco Partners has extensive experience in healthcare technology and its healthcare investments have focused on companies that provide products and solutions to the healthcare ecosystem including patients, providers, payers, pharma, life sciences and governments. Select current and past investments in the sector include Availity, eSolutions, Capsule, GoodRx, Landmark, QGenda, Trellis, and Zocdoc.