Wolters Kluwer Health to acquire Emmi Solutions for $170 million
Wolters Kluwer Health announced that it will acquire Chicago-based Emmi Solutions for $170 million in cash.
Founded in 2002, Emmi's patient engagement platform offers peer-reviewed content and personalized communication to help patients across the continuum of care, from prevention to treatment to follow-up.
Wolters Kluwer officials cite Emmi's integration with electronic health record systems as one of the company's selling points, and say the company's patient-focused technology will be a valuable extension to Wolters Kluwer's clinical offerings, such as to UpToDate decision support and Lexicomp and Medi-Span drug information tools
"Healthcare systems are striving to deliver consistent, safe, high-quality care while the economics of healthcare are increasingly demanding value in healthcare delivery," said Diana Nole, CEO of Wolters Kluwer Health, in a statement. "Patients who engage in their care have the potential to make better decisions and achieve improved health outcomes."
Emmi’s revenues are expected to reach approximately $29 million in 2016, officials note, with 90 percent of revenues subscription-based and more than 95 percent is derived from the U.S. market.
The acquisition, subject to regulatory review and customary closing conditions, is expected to deliver a return on invested capital above Wolters Kluwer’s after tax cost of capital (8 percent) in three to five years and is expected to enhance adjusted earnings in the first full year.
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