Allscripts (NASDAQ:MDRX), a global leader in healthcare technology,
today announced that it has closed its acquisition of McKesson
Corporation’s hospital and health system IT business, known as the
Enterprise Information Solutions (EIS) business. The transaction
significantly expands Allscripts client base in U.S. hospitals and
health systems and expands its solutions portfolio. Allscripts
purchased the EIS business for $185 million in cash, subject to an
adjustment for net working capital and net debt.
Allscripts will invest in and continue to offer Paragon as the
integrated electronic health record (EHR) and revenue cycle
management solution for the small hospital market segment, while
Allscripts Sunrise™ will continue as the primary platform for
larger institutions, typically with highly complex service line
needs. With this transaction, the combination of Paragon and
Sunrise hospitals will double Allscripts’ current EHR hospital
client count in the United States.
EIS customers will now have access to Allscripts’ world-class
population health management solution CareInMotion™, Revenue Cycle
Management Services, post-acute and precision medicine solutions to
improve patient outcomes and accelerate their transition to
value-based care.
“Our highest priority is to successfully meet our clients’
complex needs today and in the future,” said Allscripts Chief
Executive Officer, Paul M. Black. “It’s critical that healthcare
organizations deliver the best care possible, and we expect this
transaction will enable Allscripts to offer the most comprehensive,
high-performing health information technology and solutions, which
will help clinicians achieve our shared mission.”
“I’m excited that Sonoma Valley Hospital is now a part of the
Allscripts family, and that we’re now partners with a global
technology leader dedicated to its clients, our patients and
healthcare innovation,” said Kelly Mather, CEO, Sonoma Valley
Hospital. “Plus, with access to Allscripts’ significant suite of
solutions, we’re better prepared to address our organization’s
needs as the industry continues to evolve.”
Mark Zielazinski, Chief Information and Technology Integration
Officer at Marin General Hospital, said, “We are a fully integrated
client of the Paragon system using it in a hosted environment,
which EIS manages for us. We are also a strong user of
Allscripts in our multiple clinic environments. We look
forward to seeing what the combined organization of Allscripts
might bring to Marin General Hospital and we are willing to be an
early player in integration efforts between the various
products. We believe that the combined services organization
and product portfolio has the potential to dramatically improve our
IT infrastructure. We look forward to near-term meetings with the
combined Allscripts team to determine immediate next steps.”
“This strategic move by Allscripts represents its ongoing
commitment to healthcare providers and their patients,” said John
Bosco, Senior Vice President Chief Information Officer, Northwell
Health. “As Allscripts continues its growth by expanding its reach
to new hospitals and health systems, it’s also now positioned to
better meet the needs of existing clients with the expansion of its
portfolio of innovative solutions.”
Black Book Research released a report today featuring the result
of a survey it conducted of many Paragon users who are now joining
Allscripts growing client base.
“Black Book Research conducted a survey of hundreds of
representatives at more than 66 McKesson-Paragon facilities, and
the response was thoroughly positive,” said Doug Brown, President
and CEO of Black Book Research. “In fact, 96% of board and
executive financial leaders surveyed are confidently optimistic
that the Allscripts acquisition will improve Paragon client
processes and technologies, and benefit their organizations.”
The full Black Book report is available here.
Taken together, Allscripts’ comprehensive hospital, health
system and physician EHR portfolio — plus solutions for value-based
care, revenue cycle management, IT services, precision medicine and
post-acute care — will help hospitals, health systems and
physicians deliver on the promise of advanced and personalized
care, with improved operational and financial performance.
About AllscriptsAllscripts (NASDAQ:MDRX) is a
leader in healthcare information technology solutions that advance
clinical, financial and operational results. Our innovative
solutions connect people, places and data across an Open, Connected
Community of Health™. Connectivity empowers caregivers to make
better decisions and deliver better care for healthier populations.
To learn more, visit www.allscripts.com,
Twitter, YouTube and It
Takes A Community: The Allscripts Blog.
Forward-Looking StatementsThis press release
contains forward-looking statements, within the meaning of the
Private Securities Litigation Reform Act of 1995, that involve
risks and uncertainties. Forward-looking statements provide current
expectations of future events based on certain assumptions and
include any statement that does not directly relate to any
historical fact or pattern. Forward-looking statements can also be
identified by the use of words such as “future,” “anticipates,”
“believes,” “estimates,” “expects,” “intends,” “plans,” “predicts,”
“will,” “would,” “could,” “can,” “may,” and similar terms.
Forward-looking statements are not guarantees of future
performance. Actual results could differ significantly from those
set forth in the forward-looking statements, and reported results
should not be considered an indication of future performance.
Certain factors that could cause our actual results to differ
materially from those described in the forward-looking statements
include, but are not limited to: the expected financial
contribution and results of the Enterprise Information Solutions
business; the successful integration of the Enterprise Information
Solutions business; and the anticipated and unanticipated expenses
and liabilities related to the acquisition and the acquired
Enterprise Information Solutions business. Additional
information about these and other risks, uncertainties, and factors
affecting Allscripts business is contained in Allscripts filings
with the Securities and Exchange Commission, including under the
caption “Risk Factors” in the most recent Allscripts Annual Report
on Form 10-K, in subsequent Form 10-Qs and in our Form 8-K filed on
October 2, 2017 under the heading “Forward-Looking Statements and
Risk Factors.” Allscripts does not undertake to update
forward-looking statements to reflect changed assumptions, the
impact of circumstances or events that may arise after the date of
the forward-looking statements, or other changes in its business,
financial condition or operating results over time.
For more information contact:
Investors:Seth Frank 312-506-1213
seth.frank@allscripts.com
Media: Concetta
Rasiarmos312-447-2466concetta.rasiarmos@allscripts.com
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