Firstsource Solutions Stock Gains On New Acquisition
Shares of Firstsource Solutions Ltd. gained after the business process outsourcing services provider announced its plan to acquire PatientMatters.
Firstsource has entered into a membership interest purchase agreement to acquire a 100% stake in the Florida-based healthcare revenue cycle management solutions provider for a cash consideration of $13 million, according to an exchange filing.
“The healthcare space in the U.S. is ripe for digital disruption — a trend further accelerated by the pandemic,” Sanjiv Goenka, chairman at Firstsource, was quoted as saying in the filing. “This strategic acquisition magnifies our strong patient-centric revenue management capabilities and creates adjacent areas for growth for us.”
FirstSource also plans to consolidate its healthcare provider brands MedAssist and PatientMatters under its enterprise umbrella.
Shares of Firstsource gained as much as 4.6% in early trade on Wednesday to Rs 79 apiece. The stock is up for the second straight day. All the five analysts tracking the company recommend a ‘buy’. The average of Bloomberg consensus 12-month price targets implies an upside of 27.8%.