Electronic health records
Misys sells its hospital EHR divisions
Misys Healthcare will concentrate
on selling software for physicians’ offices after divesting its Hospital
Systems business in July 2007 in two deals totaling US$414.5 million.
The Raleigh-based subsidiary of British company Misys plc is selling its
Arizona-based Diagnostic Systems business for $381.5 million to Vista
Equity Partners, a private equity firm focused on investing in
Misys Healthcare, which employs 800 in Raleigh, also announced the sale
of its California-based Computerized Patient Record assets to Reston,
Va.-based QuadraMed Corp. for $33 million in cash.
Misys was rumored for months to be shopping the hospital business. The
sales announced last month will allow the healthcare division to again
focus on selling computerized medical records systems to doctors’
practices. The divested divisions provided similar products and services
to hospitals. “We won’t be selling any hospital-specific software after
these deals are completed,” said Misys spokesman Mike Holsinger.
About 700 employees in diagnostics and approximately 50 workers in the
Computerized Patient Record business are expected to be affected by the
two transactions. Employees affected are based in Tucson, Ariz., and San
Bernadino, Calif., and the deals are not expected to impact the Raleigh
headquarters, Holsinger says.
Misys created its Hospital Systems division with a 2001 purchase of
Tucson, Ariz.-based Sunquest Information Systems for $404 million.
Sunquest was folded into the Raleigh-based healthcare division, which
ran into problems that led to the resignation of longtime CEO Tom
Skelton in January.