Tuesday, July 29, 2008

Bain heads $50M round for MedeFinance

By Mass High Tech Staff

Bain Capital Ventures led a $50 million round of financing in health-care performance analytics software maker MedeFinance Inc., company officials reported.

Boston-based Bain and the other investors acquired a minority position in the California-based company, officials said.

MedeFinance plans to use the financing proceeds to fund new growth initiatives and acquisition opportunities. MedeFinance also expects to use a portion of the proceeds to complete a stock repurchase from certain existing investors.

Bain Capital Ventures, which was founded in 1984, is the venture capital arm of Bain Capital Partners LLC, whose affiliates manage more than $78 billion of assets with multiple funds. Bain Capital and its affiliates have invested in more than 230 companies such as New York-based Doubleclick Inc., Stamford, Conn.-based Gartner Inc. and Framingham-based Staples Inc.

Last month, Bain Capital Partners reached an agreement to buy out Japanese audio and video products maker D&M Holdings Inc. for $445 million. A simultaneous tender offer agreement between Bain Capital and RHJ International SA, a D&M Holdings’ shareholder, gave Bain Capital a 49 percent stake in D&M Holdings.

Bain Capital Ventures currently operates with more than $1 billion under management and invests in health care, software, wireless, information-services, technology-driven business services, retail, internet and consumer businesses.