Kyndryl (NYSE: KD) announced plans to acquire Healthcare IT Leaders, LLC, an enterprise IT services provider for hospitals and health systems, according to a company press release.

The acquisition is intended to expand Kyndryl's healthcare offerings by combining Healthcare IT Leaders' consulting and application managed services expertise with Kyndryl's existing infrastructure and AI capabilities. The combined entity would serve healthcare providers and payors across clinical, operational and workforce platforms.

"Healthcare organizations are under increasing pressure to advance complex clinical, operational and workforce systems while maintaining resiliency, security and compliance," said Jamie Rutledge, president of Kyndryl U.S. "By combining Healthcare IT Leaders' healthcare consulting expertise with Kyndryl's AI-led modernization capabilities, we will be better positioned to support providers and payors."

Kyndryl said the deal would deepen its relationships with national healthcare systems and expand its access to the application and consulting layer of those environments. The company said the combined business would serve enterprise health systems and hospitals across federal, academic, pediatric and regional segments.

Financial terms of the transaction were not disclosed. The deal is expected to close in the second quarter of Kyndryl's fiscal year 2027, subject to customary closing conditions and regulatory review.