Birmingham, Ala.-based Emageon Inc. is being acquired by New York-based Health Systems Solutions, Inc. (HHS) in a $62 million cash transaction.
The melding of the organizations will result in a company of approximately 400 employees. Current Emageon management will continue to operate the business “as they have,” but as a part of the HSS group of companies, according to the organizations. Sales and support functions of both organizations will be maintained. HHS and Emageon say the combination will speed the development of a “next generation” PACS. Earlier this year, Emageon received the “Best in KLAS" award for Cardiology PACS.
Under the terms of the agreement, HSS will acquire all outstanding shares of Emageon common stock for $2.85 a share. The price represents approximately a 37 percent premium on Emageon’s share price as of market close on Oct. 13.
