Accretive Health Shares Popped: What You Need to Know
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What: Shares of Accretive Health (NYS: AH) have popped today by as much as 19% after the company announced a strategic relationship with Intermountain Healthcare.
So what: Accretive Health provides end-to-end health care revenue cycle management services, and the partnership will span five years and allow Intermountain to improve revenue yield and enhance patient satisfaction by using Accretive's operating model. Intermountain currently has a network of 23 nonprofit hospitals and 185 clinics that may benefit from the partnership.
Now what: Intermountain CFO Bert Zimmerli believes that the relationship with Accretive will raise the bar for his company's operations, and drive patient, physician, and staff satisfaction. The relationship will cover the entire revenue cycle and provide infrastructure to improve efficiency. Financial details were not disclosed, but a five-year deal is a nice score and should benefit sales solidly, which totaled $183.5 million last quarter.
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