CPSI to buy Healthland Holding Inc. and AHT
Computer Programs and Systems Inc. has agreed to acquire Healthland Holding Inc. and its affiliates, Healthland Inc., American HealthTech Inc. and Rycan Technologies Inc.
American HealthTech, which was bought by Healthland in 2013, has its electronic health records system in more than 3,300 skilled nursing facilities. Rycan offer SaaS-based revenue cycle management workflow and automation software to nearly 300 hospitals.
The acquisition will allow CPSI to move into the post-acute market and expands TruBridge through the addition of Rycan.
The transaction is expected to be more than 35% accretive to CPSI's adjusted earnings per diluted share in 2016, and more than 50% accretive in 2017, the company said. The combined company is projected to have annual revenues of around $300 million in 2015, and more than 1,900 employees.
CPSI said it planned to support the Healthland Centriq platform for at least the next seven years. The Healthland Classic platform will be supported for a minimum of two years.