Mergers & Acquisitions: WebMD Health Corp. to buy Subimo
WebMD Health Corp. announced plans to acquire Subimo LLC, a provider of healthcare decision support applications to large employers, health plans and financial institutions. The move by WebMD has been made to build up its private health and benefits portals with the addition of Subimo's online health applications. WebMD also said it hopes to bring more to the growing consumer-directed health plan (CDHP) market with more advanced tools useful in promoting transparency in cost and quality of care. The purchase price for Subimo is $60 million. The acquisition, which is subject to customary closing conditions, is expected to close before the end of 2006. Subimo LLC had revenues of approximately $4.1 million and pre tax income of $790,000 for the six months ended June 30, 2006.