- Warburg Pincus recently announced that it acquired a majority interest in WebPT from Battery Ventures
WebPT recently announced that global private equity firm Warburg Pincus signed a definitive agreement to acquire a majority interest in the company from the previous investor Battery Ventures. This investment — when coupled with Warburg Pincus’s deep expertise in healthcare and technology — will help WebPT innovate upon its product suite and accelerate its mission of helping therapists achieve greatness in practice.
Ever since WebPT launched in 2008, the company has maintained a track record of steady growth. And today it is the leading electronic medical record (EMR) and practice management software for outpatient physical therapists, occupational therapists, and speech-language pathologists.
“Warburg Pincus has an unrivaled history of success in healthcare and technology, and their investment speaks volumes about their belief in WebPT’s vision and purpose as well as the future of the rehab therapy industry,” said WebPT CEO Nancy Ham. “Rehab therapy has vast potential to improve health outcomes at scale and significantly reduce costs for patients and providers. Currently, however, 90% of people who could benefit from rehab therapy aren’t receiving it. We’re on a mission to change that, and Warburg Pincus is perfectly positioned to help us scale to reach those individuals and affect the industry as a whole.”
WebPT was listed on the Inc. 5000 list for the seventh consecutive year and has become a category leader in its space with 85,000 customers at more than 15,000 clinics across the U.S. and its territories. With over 500 employees, WebPT’s 2018 revenue was $80.5 million and its 3-year growth was 157%.
“WebPT is a best-in-class rehab therapy platform and represents a significant opportunity for growth given the shift toward value-based care in the rehab therapy market,” added Warburg Pincus managing director Thomas Carella.
And Warburg Pincus managing directors Amr Kronfol and Andrew Park pointed out that “WebPT is a strong addition” to the HCIT portfolio.
Going forward, WebPT co-founder Dr. Heidi Jannenga, PT, DPT, ATC will assume the role of Chief Clinical Officer while maintaining ownership interest. And Jannenga will continue to advise on the company’s strategic direction and product innovation while advocating for rehab therapy on a national and international scale.
“WebPT set out more than a decade ago to empower the PT, OT and SLP professions and fight for rehab therapy’s rightful place in the healthcare continuum,” explained Dr. Heidi Jannenga. “We are grateful to Battery Ventures for their impeccable support and guidance, which has helped us grow exponentially over the last five years. While our business has evolved, we’ve stayed true to our mission of empowering rehab therapists to achieve greatness in practice. Now, our new partnership with Warburg Pincus will give us the tools and resources we need to make the greatest possible impact on health care and help rehab therapists expand their reach to the millions of people who could benefit from receiving musculoskeletal care.”
Warburg Pincus has more than $65 billion in private equity assets under management. And the firm’s active portfolio of more than 185 companies is highly diversified by stage, sector, and geography. Launched in 1966, Warburg Pincus has raised 19 private equity funds — which have invested more than $77 billion in over 870 companies in more than 40 countries. And since launching, the firm invested more than $10 billion in over 150 healthcare companies and over $17 billion in more than 320 technology companies.
Aeris Partners served as the exclusive financial advisor to WebPT and Battery Ventures.
