Citing the healthcare industry as one of the largest and fastest growing segments of the U.S. economy, officials at Fifth Third Bancorp have announced this morning a definitive agreement to acquire Provide, a digital platform for healthcare practices.
Building on Fifth Third’s strong legacy of digital innovation and focus on the healthcare sector, the transaction adds world-class national digital capabilities addressing the most complex lending and banking needs of retail healthcare providers.
Greg Carmichael, Chairman & CEO for Fifth Third Bancorp, which has Fifth Third Bank branches throughout Michigan’s Great Southwest, says, “Over the last decade, Fifth Third’s healthcare team has expanded its presence and expertise to become one of the top healthcare banking platforms for middle-market and corporate clients,” and adds, “Together, we can deliver a client experience that enables healthcare providers to focus on what they do best—providing the care their patients need while we make their banking experience convenient and efficient.”
In 2018, Fifth Third was an early investor in Provide, and the bank began funding loans through the company’s platform in 2020. Provide will maintain its brand identity and operate as an independent business line as it continues to scale and expand product offerings for healthcare practices and the doctors who own them nationwide.
Founded in 2013 by Daniel Titcomb and James Bachmeier III, Provide offers an integrated suite of financial products that makes starting and running a healthcare practice easier, giving providers more time to care for their patients. Provide’s first product was practice lending, enabling providers to start, buy or expand healthcare practices, and it has since grown to offer banking accounts and payments services. Through its history, Provide has originated more than $1 billion in loans, and in partnership with Fifth Third, has provided core banking and payments services to over 70-percent of the doctors for whom it provides acquisition financing.
Kala Gibson, head of business banking at Fifth Third says, “The Provide team shares our commitment to client service and has a strong track record of innovation, growth and credit savvy,” while adding, “We’re thrilled to take our partnership with Provide to the next level, combining its best-in-class lending experience with our full banking solution set.”
For his part, Titcomb says, “Our partnership with Fifth Third has enabled us to accelerate our mission of financially empowering healthcare providers. We are excited to join the Fifth Third team and bring the best of technology and relationship banking to the doctors we serve.”
Bachmeier adds, “We know that Fifth Third is the right place for us to grow our franchise and broaden our product offering, as we continue to attract the best talent and deliver market-leading customer experience to our clients.”
The acquisition is subject to customary closing conditions, including regulatory approvals. Financial terms of the transaction have not been disclosed.