This appears to be a second life here for financing after the Lehman bankruptcy put the brakes on the existing investments that were to move the merger.
Also in the news of late:
Misys Healthcare Systems and iMedica Corp. have settled a dispute over a year-old contract under which Misys licensed and markets iMedica's integrated practice management and electronic health records software for smaller physician practices. Now, Misys will pay millions of dollars more to keep selling the technology. Raleigh, N.C.-based Misys in August 2007 paid $5 million to license the software, which it rebranded as Misys MyWay. Misys also invested $8 million in iMedica.”
Allscripts has also sold their marketing division. In another press release the vendor/integrator below announced their selection with El Camino Hospital, and when looking a the ITelagen site, it appears that Misys is their EHR partner. The press release stated that more than 100 physicians would be offered the opportunity to connect and work with the hospital.
Mountain View, Calif. (PRWEB) September 10, 2008 -- ITelagen, the innovative provider of flat-rate IT services, today announced that it was selected to provide healthcare IT and Electronic Medical Records (EMR) support services for independent physicians affiliated with El Camino Hospital as they implement EMR systems and solutions designed for smaller medical practices. ITelagen, which was selected for its expertise in EMR implementations, is providing professional help desk services and support for the project and will support the approximately 110 physicians that are expected to sign up for the program.
In another related press release, El Camino Hospital announced their selection of Microsoft Amalga to aggregate all of its information, which currently resides in disparate, transaction-based systems, and integrate it into a single system.
“El Camino Hospital also will use the Microsoft Amalga software to improve operations and throughput when it moves into a new acute care facility in July 2009. Within the larger facility, Microsoft Corp. and El Camino Hospital will build on Amalga to collect and display real-time data on patients moving through the hospital, giving everyone — including administrators, bed placement supervisors, emergency medicine staff, critical care staff and operating room staff — the ability to improve the quality, speed and efficiency of their operations. Using Microsoft Amalga, El Camino Hospital will be able to identify patients’ physical locations in the facility in real time while simultaneously looking at staffing levels and preventing potential bottlenecks.”
That was a lot to read, but it might appear that Misys, ITelagen and Microsoft Amalga might be working towards integrating the hospital side of he business with the 100 physicians that will have the opportunity to connect for interoperability between the hospital system and the physicians in the area and will be using the new provisions of the Stark law to create some subsidiaries for the physicians affiliated with the hospital. BD
London-based Misys plc has obtained commitments for $325 million in funding to close the merger of Raleigh, N.C.-based Misys Healthcare Systems and Allscripts LLC, Chicago.
The financing will replace funds Misys expected to receive from Lehman Brothers before it filed for bankruptcy protection. Misys will pay the money to Allscripts, which will disburse it to shareholders as a special dividend.
Under the new financing arrangement, Misys will receive a $150 million revolving credit facility for a term of 18 months from HSBC Bank plc, the Governor and Company of the Bank of Ireland, and the Royal Bank of Scotland plc. Misys further will receive a subordinated credit facility of $175 million with a term of 20 months from ValueAct Capital, which is its largest shareholder.
Misys may prepay the loans at any time without penalty. The company already has initiated a process to refinance these debts. Misys and Allscripts shareholders are expected on Oct. 6 to vote on the merger.