I hope not!
Today's announcement that QuadraMed is being acquired by Francisco Partners (FP), a VC firm from San Francisco should bode no evil for either QuadraMed or Healthland, FP's other recent HIS acquisition. Indeed, by taking QuadraMed private and off of of the "quarterly earnings per share" treadmill, it could be a boon to Q-Med's new CEO Duncan James, who can now concentrate on long-term strategy instead of short-term sales tactics. Once Q-Med gets QCPR CCHIT certified and gets a few clients besides Sibley converted and happy, they could give Meditech and Paragon a good run in the mid-tier market.
From watching FP's turnaround of Healthland over the past 2 years, they have a good approach. Put in some proven talent at the top, give them a reasonable leash in terms of time and finances, and let the new execs improve the company, products and services to where it is a far more valuable asset. Yes, in the long run, FP might re-sell both Q-Med and Heathland, or take both public again, but is that really news in our industry, with 2-3 acquisitions a year and an IPO every year or two? I think Q-Med clients should be happy they found such a white knight, and in a year or two, both they and FP should be pleased with how well Duncan turns things around.
If not, well, Duncan, have you ever considered becoming a consultant? Give me a call any time...