The Channel logo

News

By | Christopher Williams 9th August 2006 09:18

Sage still taking buyer's medicine

Goes to Florida for £297m surgical graft

It's been over a month since we last wrote about a Sage acquisition and, frankly, we were getting antsy. Imagine our relief, then, when the news arrived that the business management software firm is to swallow Florida-based Emdeon Practice Services (EPS) for £297m ($565.9m).

EPS's revenues were £160.3m ($305.4m) in 2005, bagging it a pre-tax profit of £11.4m ($21.7m). The company specialises in administration and financial software for doctor's surgeries in the US, and currently has around 20,000 such SMB customers.

Sage chief executive Paul Walker said: "This market is showing clear demand for automation of business processes. This acquisition continues our strategy of providing industry-specific solutions, by bringing dedicated Sage solutions to this business sector for the first time."

Given the very different nationalised medical market in the UK, Sage says it has no plans to bring EPSs' software across the pond. The acquisition will form the basis of a new healthcare services division for the firm, however.

The cash deal should go through in September, subject to regulatory approval. ®

alert Send corrections

Opinion

Alexandre Mesguich

Change is order of day as tech giants shift strategy gears
Partnership

Frank Jennings

Confused? No problem, we have 5, no 6, no 7... lots of standards

Chris Mellor

VC sequence could end not with a bang, but a whimper
Sad man stares glumly over boxed contents of desk. Image via shutterstock (Baranq)

Features

money trap conceptual illustration
Big boys snare the unwary with too-good-to-be-true deals
Angus Highland cow
Pet carriers not wanted for whitebox stampede
FBcoldstoragearray
Sorry OpenStack and Open Compute, we're not all Facebook
Gary Kovacs, CEO of AVG. Pic: World Economic Forum
Scammy download sites? Government snooping? Run of the mill for Gary Kovacs