Merge Healthcare Completes Acquisition of AMICAS
April 28 2010 - 4:37PM
Business Wire
Today’s successful close of the merger agreement between Merge
Healthcare Incorporated (NASDAQ: MRGE) and AMICAS, Inc. (formerly
NASDAQ: AMCS) creates a leading medical imaging software and
healthcare IT solutions provider with strong customer
relationships, innovative solutions, significant cross selling
capabilities, and a solid international presence. With a combined
customer base of approximately 1500 hospital and 2200 outpatient
sites in the U.S. alone, a complementary product suite, and
distribution agreements in over 35 countries, Merge is well
positioned to capitalize on the expected growth in the global
medical imaging and healthcare IT markets.
“Merge and AMICAS each has a rich history of delivering
innovative solutions for the medical imaging and healthcare IT
markets,” notes Justin Dearborn, Merge CEO. “Despite some overlap
in the outpatient imaging market, our solution sets are highly
complementary. As a combined business, we will have excellent
coverage for imaging and healthcare IT solutions across the
continuum of care – from outpatient imaging sites to radiology,
cardiology, and enterprise solutions serving the hospital
market.”
For outpatient imaging businesses, the newly combined company
will offer proven solutions for revenue cycle management, radiology
information systems, referring physician connectivity solutions,
radiology PACS and CAD solutions. For hospitals, Merge will offer
robust interoperability and healthcare IT solutions, as well
comprehensive departmental solutions for cardiology, radiology, and
perioperative departments. Additionally, Merge will deliver the
entire solution set internationally, through established global
channels. In 2009 alone, Merge signed distribution contracts in 24
countries.
“Healthcare providers are facing reimbursement challenges,
stimulus funding requirements, interoperability issues, and the
need to improve effectiveness and efficiency of their clinicians,”
said Mr. Dearborn, “and they want cost effective applications that
will solve these challenges. Merge and AMICAS each has decades of
experience with a core focus on medical imaging and healthcare IT
software development, and the resulting long term customer
partnerships. Together, we can more efficiently bring the right
solutions to meet the demands of the market.”
This transaction completes the definitive merger agreement
between Merge and AMICAS dated as of February 28, 2010, under which
a subsidiary of Merge acquired all of the outstanding shares of
AMICAS common stock for $6.05 per share. To finance the
transaction, Merge successfully placed $200 million senior secured
notes due 2015, and completed a private placement of preferred and
common stock of $41.75 million. In conjunction with the completion
of the transaction, the stock of AMICAS has ceased trading on the
NASDAQ Stock Market.
Merge Healthcare develops and integrates information
technology to create a better electronic healthcare experience.
Merge products, ranging from standards-based development toolkits
to sophisticated clinical applications, have been used by
healthcare providers, vendors and researchers worldwide for over 20
years. Additional information can be found at www.merge.com.
This news release contains "forward-looking statements,"
including statements which are related to future, not past, events.
Forward-looking statements usually describe expected future
business and financial outlook or performance, and often contain
words such as “will,” “believes,” “intends,” “anticipates,”
“expects,” "plans," "seeks," “see” and similar expressions.
Forward-looking statements, by their nature, address matters that
are, to varying degrees, uncertain and subject to various known and
unknown risks. For Merge, particular uncertainties and risks that
could cause actual results to differ materially from post-merger
forward-looking statements include, among other issues: the
successful integration of AMICAS and Merge; achieving certain
post-acquisition synergies; the market acceptance of implemented
product solutions; market acceptance and performance of Merge’s
products and services; the impact of competitive products and
pricing; possible delays in the implementation of its managed
services offering; the risks and effects of its recent changes in
its executive and Board leadership, including the costs and
expenses related to severance payments made to departing officers;
the risks and effects of its recent securities issues, including
the issuance of certain senior secured notes; the past restatement
of its financial statements and other actions that may be taken or
required as a result of such restatement; its ability to generate
sufficient cash from operations to meet future operating, financing
and capital requirements, including repayment obligations with
respect to its outstanding indebtedness; risks associated with its
prior delays in filings with the SEC or its ability to continue to
meet the listing requirements of The NASDAQ Global Market; the
costs, risks and effects of various pending legal proceedings; and
other risk factors detailed in its filings with the Securities and
Exchange Commission. Readers are cautioned not to place undue
reliance on these forward-looking statements, which speak only as
of the date the statement was made. Merge does not undertake any
obligation to update forward-looking statements or any of risks,
uncertainties and other factors.
Amicas (NASDAQ:AMCS)
Historical Stock Chart
From May 2024 to Jun 2024
Amicas (NASDAQ:AMCS)
Historical Stock Chart
From Jun 2023 to Jun 2024