Allscripts scoops up NantHealth provider, patient engagement business
Allscripts will buy NantHealth’s provider and patient engagement solutions business.
NantHealth filed an 8-K Entry into a Material Definitive Agreement, dated August 3, 2017, that stated NantHealth “agreed to sell to Allscripts substantially all of the assets of the Company’s provider/patient engagement solutions business, including the FusionFX solution and components of its NantOS software connectivity solutions.”
Allscripts senior manager of communications Tom Lynch confirmed the deal.
“To better align the long-term commercial interest between Allscripts and NantHealth, we have restructured the relationship between the two companies,” Lynch wrote in an email. “We have signed an agreement to exchange our ownership interest in NantHealth for certain technology assets and client relationships that they own today.”
The transaction comes just days after Allscripts acquired McKesson’s health IT business for $185 million and Allscripts announced record bookings in the second quarter of 2017 with $407 million, up 12 percent from the same quarter in 2016.
Under the agreement with NantHealth, Allscripts will transfer 15 million shares of Allscripts common stock – par value $0.0001 per share.
NantHealth founder and billionaire Patrick Soon-Shiong has agreed to deliver a minimum dollar amount of total bookings over 10 years. Also, NantHealth and Allscripts will license certain intellectual property to one another. NantHealth will provide certain transition services to Allscripts, and it will license to Allscripts certain software and sell certain hardware to Allscripts.
The transaction between Allscripts and NantHealth is scheduled to close in the third quarter of this year and does not require the approval of either company’s shareholders, according to the 8-K.