Allscripts health care Solutions (NASDAQ: MDRX, “Allscripts”) today announced that through N . Harris Computer Corporation (“Harris”) entered into an agreement to sell the net assets of the Allscripts Hospitals and Large Physician Practice business units to Harris. The Allscripts Hospitals and Large Physician Practice business units include Sunrise™, Paragon®, Allscripts TouchWorks®, Allscripts® Opal, STAR™, HealthQuest™ and dbMotion™ solutions. The assets of the Allscripts Veradigm business unit are excluded from this transaction and will continue to be held by Allscripts in the future.
Paul M. Black, CEO of Allscripts, said: “The healthcare industry we serve religiously has changed dramatically, and the needs of our clients have evolved in different ways across different business sectors. We believe this transaction will provide a solid foundation for our clients. , 7,500+ employees and shareholders to expand focus and future opportunities. Harris has a strong track record in software development, customer satisfaction and global growth in healthcare. Excited that our solution will be part of the Harris Digital Health Leaders Program As a cornerstone of Harris’ business portfolio, we are proud that our customers will continue to benefit from a true wellness platform.”
The consideration for the acquisition is up to $700 million in cash, which includes a fixed price of $670 million to be paid at closing and a contingent consideration of up to $30 million based on business performance within two years of closing. The transaction, which is subject to regulatory approvals and customary closing conditions, is expected to close in the second quarter.
Jeff Bender, CEO of Harris, said: “We have followed and greatly appreciated hospitals and large physician practice franchises for many years. We believe that we are a great place to be for the many talented employees and loyal customers who serve as the backbone of the franchise. The perfect long-term home. By partnering with medical professionals to provide life-enhancing care, we are excited to write the next chapter of Harris’ story, continuing to serve those who serve in our communities.”
William Blair & Company advised on the transaction and provided a fairness opinion to the Allscripts Board of Directors on the transaction. Additional details of the transaction will be disclosed in Allscripts’ Form 8-K filed with the Securities and Exchange Commission.
