Allscripts announced July 30 that Strata Decision Technology will acquire its healthcare decision analytics and budgeting business Epsi for $365 million.
The transaction is expected to close later this year, subject to regulatory approval and customary closing conditions. The two companies will continue to operate independently until the deal closes, when Epsi's customer base and associates will then transition to Strata.
"By bringing these two outstanding companies together, we believe that we can build one of the most important companies in helping to solve the biggest problem in healthcare: the cost of it," said Dan Michelson, CEO of Strata. "Our focus will be to accelerate innovation to provide broader and deeper solutions to help our customers, deliver the highest service levels in the industry, and create the very best place to work in healthcare."
Epsi provides financial decision support and planning tools for hospitals and health systems while Strata offers a cloud-based financial analytics platform for healthcare financial planning and decision support. The software company's customer base includes more than 220 healthcare delivery systems.
"This agreement is a triple win for EPSi customers and Allscripts shareholders as it allows us to efficiently recirculate capital, increase our focus on our core businesses, and bring our EPSi customers the benefit of continued investment under new and very strong ownership," Allscripts CFO Rick Poulton said in the news release.