A4 Health Systems is acquiring Canopy Systems of Chapel Hill in a deal that reunites former colleagues and expands A4’s capabilities in the healthcare information technologies business.

A4, a provider of electronic health record solutions, said Monday it purchased Canopy, a developer of web-based applications for care management, in a stock-and-cash deal. Specific terms were not disclosed.

Canopy had been a subsidiary of Medical Mutual Insurance Company.

The deal brings back together two of the men who founded Medic Computer Systems in 1982.

John McConnell is chairman and CEO of A4. Alan Winchester was CEO of Canopy. He will become executive vice president of A4. Medic was later sold to Misys. McConnell and Winchester had not worked together since 1998.

“Alan Winchester and his talented group bring a wealth of healthcare IT and care management expertise to A4,” McConnell said in a statement.

McConnell added that the deal would enable A4 to expand its product offerings.

Canopy’s 40 employees will join A4 at its headquarters in Cary.

Canopy has some 150 customers using its application service provider products.

A4: www.a4healthsystems.com