Cerner Completes Acquisition Of Siemens Health Services - Quick Facts

(RTTNews) - Health information technology provider Cerner Corp. (CERN) said it has completed its acquisition of Siemens Health Services' assets, client relationships and associates. The company noted that the purchase price for the acquisition was $1.3 billion plus working capital adjustments.

Cerner and the former Siemens business unit have a combined annual research and development investment of more than $650 million. The cumulative resources are expected to speed delivery of the company's next generation of health IT solutions, enabling clients to control costs and improve health care outcomes in their communities.

In addition, Cerner and German conglomerate Siemens AG (SIEGY, SMAWF, SIEGY.PK), the former parent company of Siemens Health Services, are moving ahead with a strategic alliance that will combine Cerner's health IT leadership with Siemens AG's device and imaging expertise.

Each company expects to invest up to $50 million during an initial three-year term. The early focus of the alliance is on integrating diagnostics and therapeutics into the electronic health record.

Cerner expects 2015 revenue to be about $4.8 billion to $5 billion, with a client base spanning more than 30 countries across more than 18,000 facilities.