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HGS Healthcare, acquired by private alternative investment fund Baring Asia in January, will now be known as Sagility. The exclusively healthcare focused process management service company is targetting $1-billion revenue by 2026.
Ramesh Gopalan, Group CEO of Sagility, told BusinessLine that the company is targeting a compound annual growth rate (CAGR) of 12-16 per cent, seeking to boost revenue from $450 million (in 2021) to $1 billion in five years.
Growth strategy
The Hinduja Group had sold the healthcare unit of Hinduja Global Solutions Limited to Baring Asia for a $1,200-million deal in 2021. The deal was completed in January this year. According to Gopalan, Sagility has spent the past few months devising a long-term growth strategy. “We are in the final stages of finalising the growth strategy,” he said.
Under the ownership of Baring, Goplan explained that there is far more flexibility and resources to develop further capabilities and solutions in the healthcare space. In order to achieve the internal goals, Sagility targets doubling its technology team in the next 12 months to boost technology solutions as well as further develop capabilities through acquisitions in the health care side.
“There will be a couple of acquisitions of companies that have clinical capabilities or healthcare-specific capabilities in the next 12-18 months,” said Gopalan.
Sagility, which delivers healthcare-related process management services almost exclusively to the United States, will continue to look at the US market from a growth perspective as well. Sagility’s focus on developing technological solutions, according to Gopalan, is to use the two decades of learning by the company to proactively create market solutions instead of reacting to the demands for their clients.
He also noted that these tech solutions will aid in further growth in mid-market clients for Sagility. Technology solutions will focus on adding efficiency and speed on the administrative side — for instance, introducing machine learning to process insurance claims faster. On the clinical side, Sagility is exporting the utilisation of technology to produce clinically driven solutions to deliver better healthcare outcomes and reduce healthcare spends.
The majority of the hiring for the technology team will happen in India and the US. “In India, we are focusing on tech hiring for execution — for instance, analytics and app development — and looking at more delivery side hiring in the US,” said Gopalan, adding that the company has 6-8 end-to-end solutions at various stages of development.
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