BIRMINGHAM, AL – The proposed merger of Emageon and Health Systems Solutions has been terminated.

New York-based HSS announced on Feb. 11 that its financing firm, Stanford International Bank, Ltd., would not have the money to complete the deal. The next day, Emageon announced the deal was off and that it had taken possession of 
$9 million put into an escrow account.

HSS had agreed last Oct. 14 to pay $62 million, or $2.85 a share, for the Birmingham, Ala.-based healthcare IT provider. Emageon shareholders agreed to the merger on Dec. 18. Later that month, company officials accused HSS of "stalling" after it appeared that HSS didn't have the money to complete the deal. The two sides then set a closing date of Feb. 11.