Aug. 5, 2014, 4:53 PM
- Cerner (NASDAQ:CERN) is acquiring Siemens' (OTCPK:SIEGY) healthcare IT unit for $1.3B in cash. The deal is expected to close in Q1 2015, and be financed with cash on hand.
- The purchase is expected to boost Cerner's 2015 EPS by more than $0.15, and its 2016 EPS by more than $0.25. Cerner and the Siemens unit are expected to have $4.5B in 2014 sales between them.
- Cerner CEO Neal Patterson: "Siemens' health care IT assets provide additional scale, R&D, an impressive client base, and knowledgeable and experienced associates who will help Cerner achieve our plans for the next decade." He also sees opportunities to integrate EMR data with "advanced diagnostic and therapeutic technologies."
- As part of the deal, Cerner and Siemens will partner on projects that "integrate health IT with medical technologies for the purpose of enhancing workflows and improving clinical outcomes." The alliance has an initial 3-year term; each company will contribute up to $50M.
- CERN +0.5% AH.
Sep. 24, 2013, 7:32 AM
Dec. 19, 2012, 7:31 PM
Allscripts (MDRX) has concluded its evaluation of strategic alternatives, and decided that the best course of action at this time is to develop the company's long-term potential under the direction of its new management team. In that vein, the company names Paul M. Black as its new president and CEO, effective immediately. Mr. Black is the former COO of Cerner (CERN) and currently an Allscripts board member. He replaces Glen Tullman, who is stepping down as CEO and board member. Lee Shapiro also will step down as President, effective immediately, and will serve as a consultant to Mr. Black for up to six months. MDRX -18% AH.| Dec. 19, 2012, 7:31 PM | 1 Comment
Sep. 28, 2012, 4:00 PMReports that Allscripts (MDRX +14.2%) is exploring a sale should not come as a big shock considering the calls earlier this year from major shareholder HealthCor for MDRX to put itself on the block. HealthCor has since seen three of its own nominees added to the board, which would help push the case to sell. Other medical records firms also move up: QSII +3.9%, CERN +3.9%. | Sep. 28, 2012, 4:00 PM