The Healthcare Information and Management Systems Society, seeking to become a key source of data used in buying and selling information technology, has ventured into the thick of the sector by agreeing to acquire the assets of Sheldon I. Dorenfest & Associates, Chicago, for $6 million. Chicago-based HIMSS did not agree to acquire the company itself but will gain IT-related data on 1,500 healthcare delivery systems. It also will hire more than 30 Dorenfest employees and assume business contracts related to managing and mining the database, said Stephen Lieber, president and chief executive officer of HIMSS, a trade group for healthcare information professionals. The deal is scheduled to close July 16.
The Dorenfest database, which serves mainly IT companies and consulting firms prospecting for business, will be merged with a 1-year-old HIMSS database directed at provider organizations seeking industry information on the size, makeup and budget of hospital IT operations, said David Garets, CEO of a new HIMSS subsidiary to be called HIMSS Analytics. The subsidiary's formation was announced in February, without a name or business plan. HIMSS will pay $5.5 million in cash for Dorenfest's assets plus an additional $500,000 based on gross sales targets during a transitional period, Lieber said. Sheldon Dorenfest, owner of the company, will provide consulting services for up to two years under a contract that will pay him $125,000 per year. -- by John Morrissey