Allscripts this week announced the completion of its acquisition of practice management and EHR vendor A4 Health Systems (A4). The acquisition is valued at approximately $215 million in cash and 3.5 million shares of Allscripts common stock and an additional working capital payment, according to a release.
The acquisition of A4 doubles Allscripts' clinical software revenues as well as the size of its sales force. The acquisition also expands Allscripts existing product portfolio, providing the company with an integrated practice management system for its TouchWorks EHR. Allscripts also will offer A4's HealthMatics integrated practice management and EHR solution to small, independent physician practices, where the majority of physicians practice and view a combined solution as a requirement. HealthMatics is currently in use by more than 1,500 practices and approximately 8,000 physicians nationwide.
David Bond, who is currently president and chief operating officer of A4, will assume leadership responsibility for the A4 business unit and solutions targeted to small- to medium-size practices.