Originally published by Senior Housing News on October 27, 2022
Private equity firm Rubicon Technology Partners has purchased a controlling stake in three well-known senior living technology and data analytics companies in a move aimed at creating the industry’s first “comprehensive, scalable end-to-end software solution.”
Glennis Solutions, the firm launched as a subsidiary of Atria Senior Living; Enquire and Sherpa CRM are joining forces under one umbrella, with backing from Boulder, Colorado-based Rubicon.
Rubicon is with its investment becoming the majority shareholder of the combined company. Each company’s existing shareholders are set to retain a minority interest in the combined organization.
The financial terms of the deal were not disclosed.
Brad Frasher, who worked as executive vice president of Glennis, is heading up the new company as its first chairman and CEO. The combined company is poised to work with 50 of the country’s 150 largest senior living providers and has a presence in more than 5,700 communities.
While the three companies are being combined into one, they will continue operating under their respective names until a new brand name is chosen, Rubicon Partner Alex Kleiner told SHN.
Even so, the combined company is seeking to integrate all three tech providers’ offerings into a “module-based, easy-to-use platform with capabilities that can be easily adapted, configured and combined to fit the needs of providers, owners, or investors,” according to an announcement of the deal.
Services offered will include lead management, billing, resident engagement, quality monitoring, care and medication management.
Frasher spent more than 20 years with Atria as an executive VP of financial planning and analytics before moving to the company’s in-house software development team.
As chairman and CEO of the newly combined company, Frasher said he wants to maintain the current relationships that all three companies created while looking toward the industry’s future needs.
“I think the Covid-19 [pandemic] sped up the look and view of what technology can do for the industry,” Frasher told Senior Housing News. “But the industry is still catching up to other, more mature industries. I think the fragmented nature of our senior housing business has kept it slow.”
For now, operators want more data, better systems and “systems that they’re accustomed to in other industries,” Frasher said.
Sherpa CRM Vice President of Research Lana Peck echoed that sentiment in June when she joined Sherpa after leaving the National Investment Center of Senior Housing & Care (NIC). With Peck’s hiring, Sherpa doubled down on data collection and analysis.
Rubicon began looking into the senior living sector toward the end of 2020. It found that the senior living sector was underserved and that there was an opportunity to go big on backing an industry leader.
“We were interested in making a big bet on the sector because we believe in the long-term trends,” Kleiner said. “The long-term trends in this space are undeniable.”