FORT MILL,H-Quotient Inc. of Vienna, VA, has acquired Intelliservices, a South Carolina-based medical software company that has developed a suite of products, in a deal worth $7.3 million.
The purchase, which includes the retention of key employees, was made with 3 million restricted H-Quotient shares and a three-year option to purchase another 3 million restricted shares at $1.23 per share.
Vincent J. Scamacca and Jason M. Baker of Advisors Inc. in Charlotte were instrumental in effectuating the relationship and consummating the acquisition.
The combined companies are projected to generate more than $14 million in 2003 sales and more than 40 cents per share in earnings.
“The synergies between the two companies at the corporate, technological and marketing levels are so significant that we foresee a rapid expansion in sales as well as the development of new products,” Hemanth Rao, Intelliservices chief executive officer and president, said in a statement. “I am looking forward to a long and fruitful relationship with H-Quotient.”
Intelliservices is a debt-free company with 31 employees and contractors and is headquartered in Fort Mill, SC. Its platform is a web-based thin client solution developed with JAVA language and n-tier architecture using object-oriented methodology that allows the rapid addition of new products.
Built in interfaces, such as XML and HL7, it allows bi-directional flow of information facilitating integration with legacy systems. Direct communication between remote devices/healthcare technologies and the clinician is achieved through a web server, and capabilities include real-time data mining and reporting and insurance verification.
The resulting software products are fully scaleable with no limitation on the number of patients or records.
The suite of products includes IntelliPhysician, a web-based medical practice management system for clinics and hospitals that improves patient care, reduces costs and electronically streamlines all medical office functions.
IntelliHeart is another of the company’s products. It is a web-based system that enhances a physician’s ability to follow-up patients suffering from ailments requiring ongoing cardiology care. All the features of the IntelliPhysician are integrated into it.
A third and final product in the suite is IntelliSight, a web-based ophthalmology application that integrates IntelliPhysician. It facilitates the capture of ophthalmology clinical and surgical data including Lasik procedures.
“The fit between our two companies is outstanding and the combined company will be a cutting-edge leader in the rapidly growing medical software market,” H-Quotient CEO and President Douglas A. Cohn said, “a market with high operating margins and strong recurring revenues.”