CSC confirms iSoft takeover

CSC has announced that it has entered into an agreement to purchase troubled e-health specialist iSoft.

CSC has announced that it has entered into an agreement to purchase troubled e-health specialist iSoft.

The move has not come unexpected, with reports predicting the takeover when iSoft entered a trading halt at the end of last week.

CSC said that iSoft's portfolio would complement and strengthen its own products and that the acquisition would give its research and development a boost. The buy will also speed CSC's Life Sciences market strategy, according to the company.

The 3300 additional employees which CSC inherits under the deal would help it to support customers, add new ones and develop new products, according to CSC.

"iSoft's electronic health record software and services, coupled with CSC's global healthcare expertise and delivery capabilities, will create a very powerful force in the global healthcare market to enhance the provision of integrated care," Andrea Fiumicelli, chief executive officer of iSoft said in a statement.

"This is a great development for iSoft's employees as they will have the opportunity to continue their important work in healthcare IT whilst developing their careers across CSC's global business," he continued.

"When completed, this acquisition will be a critical step in the expansion of our global healthcare business. CSC will be at the forefront of emerging healthcare technologies, giving our clients access to an expanded range of healthcare capabilities and continuing our journey of bringing the vision of a single patient record to life," CSC chairman, president and chief executive officer Michael Laphen said in a statement.

CSC is offering iSoft shareholders $0.17 per share in cash. Closure of the sale is expected during CSC's second quarter of 2012, pending Australian and EU regulatory approval.

More than 13,000 healthcare providers and governments from 40 countries use iSoft's e-health software, reaching more than 200 million patients every day, CSC said.

The buyout comes after issues in the company's UK operations had led to losses and share price falls, which the company had been fighting to stem via management changes and a company restructure.


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