HCAP Partners Announces Exit of Chordline Health

SAN DIEGO, Feb. 26, 2025 /PRNewswire/ -- HCAP Partners, a California-based private equity firm and nationally recognized impact investor, today announced the successful exit of Chordline Health, a leading provider of fully integrated workflow and analytics software designed by clinicians for managed care. The company has been acquired by a strategic partner that will continue to invest in its next-generation software platform, ACUITYnxt. Terms of the exit were not disclosed.

Since the initial investment, Chordline Health—formerly TCS Healthcare Technologies—transformed from a family-run business with legacy software into an institutional platform offering advanced solutions for case management, risk utilization, and predictive analytics. Serving risk-bearing managed care organizations, including health plans, Medicare, Medicaid, and third-party administrators, the company's platform has evolved to meet the industry's shift toward value-based care, stricter compliance regulations, and the growing need for advanced analytics to drive early intervention.  

HCAP's investment funded Chordline's expansion, supporting the launch of the ACUITYnxt SaaS platform and the acquisition of Datasmart Solutions, an analytics platform that leverages the Johns Hopkins ACG Risk Score to help health plans with risk stratification and predictive analytics. In addition, HCAP brought in industry veteran Billie Jo Nutter as CEO in 2023 and leveraged the expertise of its operating partners Luis Machuca and Larry Lien, who brought deep experience in healthcare, product development, and marketing.

"We are thrilled to have partnered with Billie Jo Nutter and the Chordline team in executing a transformative thesis," said Hope Mago, Partner at HCAP Partners. "In line with the firm's value-add investment approach, HCAP provided the growth capital, executive leadership, and impact framework needed to scale the business and drive long-term success. The team's execution led to a successful transformation of the business and an exit to a strategic buyer."

"Chordline's evolution over the past few years has been remarkable," commented Billie Jo Nutter, CEO of Chordline Health. "Our team's expertise, combined with strategic investments in ACUITYnxt, has allowed us to develop a next-generation software platform that equips healthcare organizations with actionable insights, risk stratification, and early intervention tools. This partnership has strengthened our foundation, and I'm excited for Chordline's continued innovation and impact in healthcare."

Chordline's success is also a testament to its strong commitment to quality jobs and workforce development. HCAP's Gainful Jobs Approach™ helped implement new pay bands, an unlimited PTO program, a 401(k) match, a bonus plan, and career development initiatives, resulting in a highly tenured and engaged workforce.

HCAP Partner Hope Mago led the transaction and served on Chordline's board, while HCAP Vice President Jessica Kim played a key role in driving value creation and overseeing portfolio management.

About HCAP Partners

HCAP Partners is a diversely owned private equity firm specializing in providing mezzanine debt and private equity for underserved, lower-middle market companies throughout the United States. The firm seeks to invest $5 million to $35 million in established businesses generating between $10 million and $100 million in revenues in the healthcare, software, services, and manufacturing industries. HCAP Partners has invested in over 60 companies since its founding and, through active engagement with portfolio companies, provides value-added resources to help optimize performance and increase enterprise value. The firm has been an Impact Assets 50 fund since 2014 and, through its Gainful Jobs Approach™, works to facilitate a positive impact on underserved businesses, their employees, and their communities. For more information, please visit www.hcap.com.

About Chordline Health

Chordline Health was founded in 1983 to address the critical need for managed care solutions designed from the clinician perspective. Chordline's cloud-based software and analytics platforms deliver actionable, real-time data to users, empowering healthcare organizations to deliver optimized clinical outcomes and improved patient experiences, all while reducing operational costs. Supported by a team of clinicians and developers recognized for their best-in-class managed care expertise and customer support, Chordline is the leading provider of software designed to support health plans, TPAs, ACOs, and other risk-bearing organizations. For more information, visit www.chordlinehealth.com.

Contact: Hope Mago
HCAP Partners
[email protected]
(858) 259-7654

SOURCE HCAP Partners