The investment is being led by Blackstone’s growth equity team, which is focused on “providing capital to fast-growing companies and helping them leverage Blackstone’s deep operating resources and scale to become market leaders”, a Blackstone statement said.

The terms of the transaction were not disclosed.

Blackstone’s legal adviser on the deal was Debevoise & Plimpton. The Debevoise team was led by M&A partners Jennifer Chu and Kevin Rinker and included M&A associates Benjamin Collins-Wood, Jordan Corrente Beck, David Becker, Nathan Frost and Richard Hughes, tax partner Peter Furci and associate Erasmo Perez, benefits partner Meir Katz and associate Wendy Widman, intellectual property partner Jeffrey Cunard and associate Jose Angel Lamarque, finance partner Sunil Savkar, counsel Kevin Grondahl and associates Giselle Alvarado and Lee Henderson and litigation counsel Jacob Stahl and associate Caroline Zielinski. Blackstone’s financial adviser was TripleTree.

HealthEdge’s financial advisor was Morgan Stanley and its legal advisor was Goodwin Procter.

Ram Jagannath (pictured), global head of healthcare for Blackstone Growth, said: “We are excited to partner with Steve and HealthEdge’s outstanding management team as they continue to build a premier, comprehensive platform for healthcare payor technology. The company has a leading, innovative product that their customers find highly compelling in helping them manage an increasingly complex healthcare ecosystem.”

Steve Krupa, CEO of HealthEdge, said: “We are thrilled to work with Blackstone as we enter the next chapter of our company’s growth. Blackstone’s expertise in healthcare and extensive operational resources made them our partner of choice to help fuel our continued expansion and better serve our customers in the years ahead. We are deeply grateful to our employees, for all of their hard work and dedication; our customers for their loyalty and ongoing partnership; and our chairman, Al Waxman, and his venture fund Psilos Group, for supporting our company from the very start.”

Rick Jelinek, board member of HealthEdge and executive vice president of CVS Health, said: “On behalf of the company we are pleased to be partnering with Blackstone, which has the capital and resources to help HealthEdge further scale. The company has a leading technology offering and this partnership with Blackstone will help it continue to expand, benefiting the entire healthcare ecosystem.”

Blackstone’s asset management businesses have $571 billion in assets under management, including investment vehicles focused on private equity, real estate, public debt and equity, growth equity, opportunistic, non-investment grade credit, real assets and secondary funds.