Sagility India Acquires US-Based BroadPath Healthcare For $58 Mln

(The Corner Office Journal) -- Sagility India Ltd. said it acquired US-based healthcare focused services company BroadPath Healthcare Solutions for 502 crore rupees ($58 million) in cash to strengthen its position in both the large and mid-sized US healthcare payer segments.

“The acquisition of BroadPath aligns with Sagility’s strategy to diversify its client base and add new capabilities to its services portfolio,” the Indian healthcare-focused services provider said in a stock exchange announcement yesterday. “This acquisition significantly expands Sagility’s market presence, adding more than 30 new clients.”

Tucson, Arizona-based BroadPath operates a work-from-home delivery model with over 1,600 employees located across the US and Philippines. Its service portfolio includes member engagement, member acquisition, claims and appeals administration, provider enrollment and credentialing.

Sagility is a tech-enabled, US healthcare-focused business operations solutions and services company. It delivers its services through over 38,000 professionals across five global service delivery centers located in the US, India, the Philippines, Jamaica, and Colombia.

The Bengaluru-based company said the acquisition was done through its step-down subsidiary Sagility LLC, which signed a definitive agreement with BroadPath Global LLC, BroadPath LLC, and Bhive Holdings LLC. The transaction was completed on 29 January 2025.

Expanded Capabilities

Sagility said the acquisition of BroadPath, incorporated in 2008, will add another top 10 US payer to its list of clients as well as increase the company’s footprint with two other existing top 10 payer clients. Post-acquisition, Sagility will serve six of the top 10 payers in the US, solidifying its leadership in the market, it added.

“We are very excited to add a sizeable number of clients through the acquisition of BroadPath,” Sagility Managing Director and Group Chief Executive Officer Ramesh Gopalan said. “We are confident of seamlessly integrating BroadPath’s clients and employees into our larger organization.”

Sagility said the acquisition also gives the company an opportunity to cross-sell its broad service offerings to several mid-market clients, including payers, third-party administrators, pharmacy benefit managers and providers.

The acquisition of BroadPath will be add to Sagility’s earnings from day one, it noted.

“Acquiring BroadPath, with revenues of $70 million, at <1x EV/Revenue will drive shareholder value, further driven by attractive cross sell synergies and economies of scale,” Sagility said.

Note: $1 = 86.5951 Indian rupees

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