Premier, a group purchasing organization based in Charlotte, N.C., has reached an agreement to acquire Pittsburgh-based CECity, a provider of cloud-based healthcare solutions, specializing in performance improvement, pay-for-value reporting and continuous professional education.
Here are four things to know about the agreement.
1. Under the terms of the agreement, Premier will purchase 100 percent of CECity's outstanding stock for $400 million.
2. Integrating CECity's capabilities, Premier's payer and vendor-agnostic platform will be enhanced with expanded data collection, measurement and monitoring, expanding the ability to offer quality cycle management, regulatory reporting and performance improvement services, the organizations said. Premier will also have the ability to automate the flow of information directly from physician practices to qualified clinical data registries, in partnership with national professional societies.
3. Premier executives expressed excitement over the transaction.
Susan DeVore, president and CEO of Premier, said through the transaction, her organization is "enhancing our capability to provide turn-key performance improvement and measurement reporting solutions in a rapidly expanding market." Michael J. Alkire, COO of Premier, expressed similar sentiments, saying the combination "will support unique, end-to-end solutions that span the continuum of care, supporting providers as they move toward advanced payment models."
4. The transaction is expected to close in Premier's fiscal first quarter ending Sept. 30, 2015, subject to clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and other customary closing conditions.
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