Chicago-based electronic medical-records systems vendor Allscripts has announced a $272 million deal to acquire privately held A4 Health Systems, Cary, N.C., a maker of a suite of EMR and practice-management systems software. Allscripts also announced it has renegotiated an earlier marketing agreement with IDX Systems Corp., which was acquired by General Electric Co. in a deal that closed Jan. 4. The new pact, according to Allscripts, will give it increased flexibility it its offerings of electronic medical-records systems integrated with practice-management systems across of range of sizes of office-based physician practices.
"It's a very logical thing to do," said Dan Michelson, chief marketing officer for Allscripts.
Allscripts will finance the A4 acquisition, which has been approved by its board of directors but remains subject to stockholder and regulatory approval, with $215 million in cash and 3.5 million shares of Allscripts stock, valued at about $57 million, based on Wednesday's closing price of $16.30 per share. The deal is expected to close in the first half of this year.