Q3 2008 Healthcare Transactions
China Information Security Technology to acquire Shenzhen Zhongtian Technology Development
China Information Security Technology, Inc., an application software developer, systems integrator and full-service Geographic Information Systems solutions provider to the public security and civil-use markets in China, is acquiring Kwong Tai International Technology Limited, a Hong Kong company, and its wholly-owned Chinese subsidiary, Shenzhen Zhongtian Technology Development Company Ltd., a provider of hospital digital information systems in Guangdong Province, China. The acquisition of Zhongtian Technology and its patented Medical Case Statistics Software will enable CIST to leverage its existing Residence Card application platform and information sharing capabilities to serve the growing demand for digital hospital and electronic medical record (EMR) systems in China.
Announcement Date: September 29, 2008
Deal Value: $16.5 Million (Cash and stock)
HealthPort acquires ChartOne
Marking a significant development in its vision to be a leading provider of technology and strategic solutions for the healthcare industry, HealthPort will acquire its closest competitor, ChartOne. This acquisition combines the strengths of two industry leaders and creates the widest selection of affordable, quality health information products and services available. As the adaptation of technology continues to gain momentum in the healthcare industry, this announcement positions HealthPort to better provide a full spectrum of solutions that can improve business fundamentals and enhance patient care. With this acquisition, HealthPort has combined revenues of more than $230 million and serves more than 8,000 healthcare facilities across the United States.
Announcement Date: September 23, 2008
Deal Value: Undisclosed
Perseus buying Allscripts Unit
Perseus LLC, a private equity operation, has agreed to acquire the Physicians Interactive business of Allscripts Healthcare Solutions Inc. Physicians Interactive provides online clinical education programs that enable life sciences companies to reach physicians. Allscripts Healthcare Solutions, Inc., is a provider of clinical software, connectivity and information solutions that physicians use to improve healthcare.
Announcement Date: September 22, 2008
Deal Value: Undisclosed
Eclipsys to acquire MediNotes
Eclipsys Corp. is acquiring MediNotes, a privately-held industry leader in physician practice information solutions. MediNotes has practice management and electronic medical record (EMR) solutions in over 5,000 medical practices across the U.S. Eclipsys has traditionally focused on providing information software, clinical content and professional services for hospitals and hospital-based health systems. With a growing number of specialty and smaller physician practices, health systems have sought a cost-effective way to improve care coordination and expand relationships with loosely affiliated physicians, the company says. Web-based practice management and EMR solutions such as those by MediNotes, which are low-cost to implement and maintain, help facilitate those linkages and expanded physician adoption. Once completed, the acquisition of MediNotes will expand, but not replace, the current Eclipsys solution portfolio.
Announcement Date: September 19, 2008
Deal Value: $45 Million (Cash and stock)
QHR to acquire Clinicvault Inc
QHR Technologies Inc. is acquiring Clinicvault Inc., a privately held Calgary-based company. Clinicvault provides data hosting services as an Application Service Provider (ASP) to the growing Electronic Medical Records (EMR) market. QHR participates in that market through its subsidiary, Optimed Software Corporation, whose EMR system is sold under the Accuro brand. The acquisition of Clinicvault will enable QHR to seamlessly integrate ASP services into its EMR client service delivery model.
Announcement Date: September 17, 2008
Deal Value: Undisclosed
WebMD to acquire QualityHealth.com
WebMD Health Corp., health information provider, is acquiring QualityHealth.com and its owner, Marketing Technology Solutions Inc. (MTS). The acquisition will add performance-based marketing programs to WebMD's product portfolio and expands the breadth of its offerings to the biopharmaceutical and healthcare markets. Using proprietary data analytic technology, QualityHealth.com effectively delivers targeted health information and personalized programs to its consumer members based on individual need. Established in 1999, QualityHealth.com is one of the 10 largest health websites, with approximately 5.5 million unique monthly visitors. QualityHealth's traffic will complement WebMD's reach of more than 48 million unique monthly visitors and over 1.1 billion quarterly page views, further differentiating WebMD's brand and expanding its high quality, health engaged audience.
Announcement Date: September 15, 2008
Deal Value: $50 Million (Cash plus potential earnout of up to $25 million)
Seller Revenue: $21 Million (FYE 2007)
Marlin Equity acquires MedAvant
Officials at MedAvant Healthcare Solutions have received approval from a bankruptcy court to sell the struggling provider of SaaS healthcare technology and transaction services for $24.35 million. That was the high bid submitted during a bankruptcy auction by an affiliate of Marlin Equity, a private equity firm that had been identified as a "stalking horse" purchaser in the days leading up to the auction.
Announcement Date: September 10, 2008
Deal Value: $24.35 Million (Cash)
Tripos International to acquire Pharsight
Tripos International, a drug discovery informatics company owned by Vector Capital, is acquiring Pharsight Corp., a provider of software, strategic, and regulatory services designed to optimize clinical drug development. The combined companies will provide software products and scientific services over an expanded market, from discovery to Phase III, approval, and post marketing. By acquiring Pharsight, Tripos will be able to provide its customers with important new products, key enabling technologies and scientific expertise.
Announcement Date: September 10, 2008
Deal Value: $57 Million (Cash)
Seller Revenue: $28.8 Million (ttm)
Phase Forward acquires Clarix LLC
Phase Forward, a provider of data management solutions for clinical trials and drug safety, has acquired privately held Clarix LLC, an innovative provider of fully web-integrated interactive response technology. Clarix’s fully web-integrated IRT is used for subject randomization, predictive medication inventory management, and operational management and reporting in clinical trials. Clarix combines a next-generation technology platform with a services organization focused on delivering the highest levels of customer satisfaction to enable customers to set up trials in less than half the time it typically takes with traditional IRT providers. Phase Forward believes the combination of Clarix IRT and Phase Forward’s market-leading InForm EDC solution and Empirica Safety Suite will represent the next generation of eClinical innovation.
Announcement Date: September 5, 2008
Deal Value: $40 Million (Cash)
Seller Revenue: $6.3 Million (2008 projection)
Health Central Network acquires TheBody.com and TheBodyPro.com
The HealthCentral Network, Inc., the leading collection of online consumer health assets, with more than 35 condition-specific, wellness and general health web properties, announced the acquisition of HIV/AIDS patient resource TheBody.com and HIV/AIDS health professional resource TheBodyPro.com. With the acquisition, HealthCentral extends its position of becoming the leading online enterprise of condition-specific health and wellness information. The acquisition adds approximately 700,000 highly targeted monthly unique visitors to The HealthCentral Network's nearly 11 million monthly unique visitors.
Announcement Date: September 4, 2008
Deal Value: Undisclosed
Wolters Kluwer to acquire UpToDate
Wolters Kluwer Health, provider of information and business intelligence for students, professionals and institutions in medicine, nursing, allied health, pharmacy and the pharmaceutical industry, is acquiring UpToDate, an evidence-based electronic clinical information resource. This acquisition will strengthen Wolters Kluwer Health's portfolio in the growing point of care and electronic medical record markets by expanding its product and services offerings. Terms of the acquisition were not disclosed but UpToDate is expected to generate annualized projected revenue of $80 million in 2008 and has demonstrated consistent double-digit organic revenue growth over the last four years. This acquisition will strengthen Wolters Kluwer's leading position in the clinical decision support market and fits squarely into its strategy for building its Health business.
Announcement Date: September 4, 2008
Deal Value: Undisclosed
Riverside acquires HealthcareFirst
The Riverside Company's Micro-Cap Fund focused on companies with $5 million or less in EBITDA, acquired HEALTHCAREfirst, Inc. HCF is the third addition to the Riverside Micro-Cap Fund ("RMCF") in the last two months and is the 28th healthcare investment in Riverside's history. HCF offers hosted software solutions to small businesses in the Medicare-reimbursed home health agency and hospice markets in 35 states. The company operates in a favorable industry, showing strong historic financial performance and untapped growth potential.
Announcement Date: September 4, 2008
Deal Value: Undisclosed
Stalis acquires Silverlink
UK health IT vendor Stalis has acquired clinical software developer Silverlink. Silverlink is the developer of the PCS patient administration system, which is widely used within the NHS. Stalis says the merged company will be better able to provide UK public and private healthcare customers with a significantly expanded local care record service solution. The company says the market is showing signs of renewed life, with opportunities arising as NHS trusts seek interim solutions and foundation trusts begin to show their independence. The merger is intended to enable the development of a single integrated product line, combining Silverlink’s clinical software and Stalis’ expertise in data migration, integration and warehousing.
Announcement Date: September 1, 2008
Deal Value: Undisclosed
PARAEXEL acquires ClinPhone
PARAEXEL International Corporation has acquired ClinPhone plc, a leading clinical technology organization in the UK. ClinPhone will be combined with PARAEXEL’s wholly-owned technology subsidiary, Perceptive Informatics. Perceptive is one of the industry’s largest eClinical technology providers, and the combined company will offer unprecedented access to eClinical technologies and resources.
Announcement Date: August 14, 2008
Deal Value: Undisclosed.
HighPoint Solutions acquires Aptiv Technology Partners
HighPoint Solutions LLC, a provider of business-driven IT solutions, is acquiring Aptiv Technology Partners, LLC, a healthcare technology consulting firm with over 50 consultants and $10 million in annual revenues. Aptiv Technology Partners has been providing technology consulting services to the healthcare industry for more than 25 years. Previously known as TMI, Daou Systems and Proxicom Healthcare, in early 2008, the company rebranded itself as Aptiv Technology Partners. Aptiv's team of professionals helps payer and provider organizations identify critical healthcare information technology requirements, integrated business process solutions and system organizational structures to continually improve their business and technology operations. HighPoint’s strategy is to continue expanding its healthcare-focused solutions and capabilities.
Announcement Date: August 15, 2008
Deal Value: Undisclosed
Surveillance Data acquires Verispan
LLR Partners, a private equity investment firm, provided equity capital to healthcare analytics company Surveillance Data LLC (SDI) for its acquisition of healthcare information and services company Verispan, LLC. The acquisition creates one of the industry’s most innovative and comprehensive healthcare analytics companies. SDI is a leader in data integration, custom analyses, and reporting of patient-level data with de-identified, longitudinal data from over 50 sources. The company provides a wide range of near real-time healthcare informatics and market research to its clients in the pharmaceutical, consumer packaged goods, medical device, biotechnology, and healthcare-related industries. Verispan is a strategic addition to SDI’s healthcare data and analytics business. Its acquisition will expand both companies’ current customer base and market penetration.
Announcement Date: August 6, 2008
Deal Value: Undisclosed
Clinix acquires MedicWare
Clinix Medical Information Services, LLC is expanding its suite of management information solutions for the healthcare market with the acquisition of MedicWare, Inc., a provider of complete, user-friendly and affordable electronic health/medical (EHR, EMR) record software. The MedicWare EMR product, which has been named ClinixMD, offers solutions to both physician groups and medical billing companies. The ClinixMD system enables physicians and their staff to focus on patient needs instead of arduous paperwork. This solution enhances patient care, improves efficiency, increases profitability and helps medical practices stay current and compliant with industry standards and regulations including the Centers for Medicare and Medicaid Services and the Health Insurance Portability & Accountability Act.
Announcement Date: August 6, 2008
Deal Value: Undisclosed
Nexus AG acquires Medos AG
Nexus AG (Germany), a leading provider of information technology in the health care system, has acquired Medos AG, a German developer of medical software, which employs around 42 people. With this step, Nexus expands its customer base in the area of radiology, radio oncology and nuclear medicine significantly. As a consequence of the merger, the existing Nexus site in Frankfurt/Main will be gaining further importance within the NEXUS Group. The combined companies will serve more than 200 customers in five countries.
Announcement Date: August 1, 2008
Deal Value: Undisclosed
Global Med Technologies acquires eDonor
Global Med Technologies, Inc., an international e-Health, medical information technology company, acquired eDonor, a web-based donor relationship management system that integrates recruitment, scheduling, retention and fulfillment for national as well as local community blood centers. The acquisition is designed to complement Global Med's strong line of international blood management and laboratory information software and service solutions. Global Med realizes that effective donor recruitment is strategically important to its customers. eDonor's significant market share and their innovative solutions make this acquisition a logical next step in its evolution. With the eDonor acquisition, Global Med will now have 13 software applications specifically geared toward donor centers and hospitals.
Announcement Date: August 1, 2008
Deal Value: $5 Million (Cash and stock)
Ebix acquires Acclamation Systems, Inc.
Ebix, Inc., an international developer and supplier of software and e-commerce solutions to the insurance industry, is acquiring Acclamation Systems, Inc., a provider of SaaS-based healthcare benefits and claims management software in the U.S. Since its inception in 1989, Acclamation has focused itself on providing benefits administration systems to some of the world’s largest insurance carriers, third-party administrators and self-administered organizations. Today Acclamation is seen as a leading player in the health benefits software industry, providing benefit services to an estimated 7 million insured lives through its customer base of approximately 80 clients. The acquisition will mark Ebix’s entry into the fast-growing health benefits and claims processing sector of the insurance industry.
Announcement Date: July 30, 2008
Deal Value: $22 Million (Cash plus potential earnout of $3 million over 2 years)
Universal Capital Management acquires iVolution
Universal Capital Management, Inc., a business development company that provides management and strategic growth resources to emerging growth companies, has added iVolution Medical Systems to its group of portfolio companies. iVolution Medical Systems provides a unique combination of advanced, user-friendly, highly-secure and affordable healthcare technology solutions to both physicians and consumers. For physicians, the suite of solutions and services facilitates the automation of virtually all interaction with patients, insurers, labs and pharmacies, as well as provides valuable tools to monitor and optimize the financial and administrative aspects of the doctors' businesses. iVolution will also offer resources to assist such businesses in conducting basic marketing activities, as well as sophisticated consulting services tailored to the needs of such individual practice clients. In addition, iVolution is a billing and collection company, and it services the physician and hospital market through a cost-effective outsourced back-office that is combined with a highly seasoned customer service team stationed in the U.S.
Announcement Date: July 30, 2008
Deal Value: Undisclosed
SDI acquires Verispan
SDI, provider of innovative healthcare analytics, has acquired Verispan, a top provider of healthcare information and services. The acquisition creates the healthcare industry’s most comprehensive de-identified longitudinal database serving the pharmaceutical, biotechnology, medical device, medical/surgical, hospital, pharmacy, financial, payer, consumer packaged goods and government healthcare market segments, among others. The addition of the Verispan product and service portfolio uniquely positions SDI to offer an unmatched solution suite for clients, including the pharmaceutical and healthcare sectors that are under tremendous, ongoing pressure to reduce costs and improve outcomes. The acquisition brings together SDI’s industry-leading custom patient-level data analytics with Verispan’s comprehensive syndicated patient-level data and audit-based analytic solutions, healthcare lists and profiles, and marketing services.
Announcement Date: July 29, 2008
Deal Value: Undisclosed
Domark International to acquire TotalMed Systems
Domark International, Inc. is acquiring the assets of TotalMed Systems, Inc., a supplier of medical software to hospitals and physician groups. TotalMed's secure patient record management and billing software products are designed to support the over 700,000 physicians and 5,000 hospitals in the U.S. at a cost considerably less than other providers. TotalMed is positioned to capitalize on this tremendous market.
Announcement Date: July 28, 2008
Deal Value: Undisclosed
MPV acquires TeraHealth
Medical Present Value, Inc., a provider of financial tools and expert services to manage payor contracts and audit reimbursement, has acquired TeraHealth. TeraHealth provides insurance and benefits verification software and services that help physician groups improve eligibility processes by electronically gathering co-pay, benefits and deductible information via batch or real-time transaction. Its ESI and MedeConnect products are EDI tools that eliminate the need for staff to manually verify insurance information and reduce registration, co-pay and billing errors. With the growth of consumerism and high deductible insurance plans, there is an increasing need among physician groups to verify eligibility and determine patient fees at the time of service. The TeraHealth team possesses an outstanding level of industry experience in patient eligibility. The acquisition of the company will allow MPV to combine its leading payor contract management solution and patient payment calculator with a powerful eligibility and insurance verification solution.
Announcement Date: July 17, 2008
Deal Value: Undisclosed
McKesson acquires EN-Chart
McKesson has acquired EN-Chart Scanning Program, LLC, a market-leading provider of computer-assisted facility coding and compliance solutions for emergency department (ED) visits. EN-Chart provides advanced coding and charge capture capabilities that enhance emergency department information systems (EDIS) and help to optimize revenue. EN-Chart solutions can be used stand-alone or integrated with existing hospital EDIS, including McKesson’s comprehensive Horizon Emergency Care emergency department solution. EN-Chart helps EDs save both time and money. Combined with its industry-leading ED information system or an organization’s existing EDIS, McKesson enables hospitals to not only achieve clinical excellence but also improve the economics of delivering care.
Announcement Date: July 16, 2008
Deal Value: Undisclosed
Healthvision acquires MediSolutions Products and Services division
Healthvision, a provider of software and services for the health care industry, has acquired the majority of the assets of MediSolution's Healthcare Products & Services division. MediSolution is a supplier of healthcare technology goods and services. The acquisition allows Healthvision to expand its reach into the Canadian marketplace.
Announcement Date: July 16, 2008
Deal Value: Undisclosed