AURORA -- Great Hill Partners, a growth-oriented private equity firm, has acquired Lena Drive company PartsSource, a leading provider of medical parts and supplies procurement solutions for hospitals, outpatient clinics and physician offices.

The acquisition will allow the company to accelerate its sales and marketing investments and further position it to execute on its growth plan.

"PartsSource's e-commerce technology has disrupted a workflow that has historically been offline, allowing providers to maintain their facilities efficiently and more cost effectively," said Mark Taber, a Grat Hill managing partner. "We are delighted to partner with Phil Settimi and the entire PartsSource team to help them continue to expand their market leadership."

Founded in 2001, PartsSource's core electronic spend management platform automates the procurement process of medical parts and supplies from product sourcing to financial settlement, incorporating proprietary analytics to optimize compliance, efficiency, cost and quality.

In addition to automating the highly complex workflow associated with procurement, the company created and maintains the industry's only online, fully integrated parts procurement marketplace. PartsSource facilitates more than 1.5 million transactions annually by connecting thousands of suppliers and OEMs to more than 3,300 hospitals worldwide.

"We are pleased to collaborate with Great Hill, who will offer both the experience and resources to fully maximize the value of our healthcare solution, while maintaining our commitment to first-class customer service, innovation and quality," said PartsSource CEO Phil Settimi.

Great Hill partner Rafael Cofino added, "We believe PartsSource has tremendous growth potential as procurement teams within healthcare seek ways to digitize their workflows via a one-stop-shop for medical parts and supplies. It has been exciting to watch them build the online category leader."

"I am proud of the team that has contributed to PartsSource's emergence as the leading procurement solution for the healthcare industry, and believe we have found the right partner in Great Hill to build on its accomplishments to date," said founder and Executive Chairman Ray Dalton.

PartsSource will join Great Hill Partners' portfolio of healthcare companies, including Qualifacts, RxBenefits, PlanSource, Passport Health Communications (acquired by Experian for $850 million), SterilMed (acquired by Johnson & Johnson) and bSwift (acquired by Aetna for $400 million).

Additionally, Great Hill has extensive experience in e-commerce and electronic marketplaces, including companies such as Wayfair, the Shade Store, Cliq Studios and Momondo (acquired by The Priceline Group for $550 million).

As part of the transaction, Mark Taber, Rafael Cofio and Cheng Li will join the PartsSource board of directors. Sellers in the transaction include Dalton, Polaris Partners and Primus Capital Funds. Financial terms of the deal were not disclosed.

Robert W. Baird & Co. served as exclusive financial adviser to PartsSource., Jones Day served as legal adviser to PartsSource and Goodwin Procter LLP served as legal adviser to Great Hill Partners.