Consolidation in the third party biller business
Here's another one of those posts that is really really interesting to very very few people.
Third party billers are factors - they buy WC script receivables from pharmacy chains and try to collect from WC payers.
The two TPBs have been on (and off) the selling block for some time; it now appears they are working on a merger.
Word on the street is Fiserv (Third Party Solutions' corporate parent) is about to/ or already has acquire(d) WorkingRx. But, this deal has been close to closure for a couple+ weeks now, which indicates potential issues that may be holding things up (or even prevent the deal).
The issue may be (this is just a guess) related to receivables. Third party billers' A/R have been deteriorating of late as their customers (pharmacy chains) have been demanding better terms, and payers have been increasingly tough on TPB demands for payment. Sources indicated that several potential acquirers looked at both TPBs earlier this year - and passed due to grave concerns about A/R issues.
We'll keep our ears open...
