UnitedHealth Group to acquire UK tech company for $1.5B
An affiliate of UnitedHealth Group’s Optum is acquiring EMIS Group, a healthcare software and solutions company based in the U.K., in a $1.5 billion deal.
The acquisition by the Boards of Bordeaux UK Holdings II Limited (“Bidco”), an affiliate of Optum Health Solutions Limited (Optum UK) and a wholly owned subsidiary of UnitedHealth
This is an all-cash offer of 1,925 pence per share, representing a 49% premium of the stock price as of June 16.
“Optum is pleased to be investing further in the U.K. healthcare sector and believes that a combination of EMIS and Optum UK would strengthen EMIS’s capabilities as a leading U.K. healthcare technology company, with an enhanced ability to deliver important benefits for patients, clinicians and the NHS,” stated a summary of the deal.
The acquisition is the latest of several from UnitedHealth Group, including the company’s recent $5.4 billion bid to acquire home healthcare provider LHC Group. Last year, UnitedHealth also made moves to acquire Change Healthcare for $8 billion in cash. However, that deal has faced legal challenges after the Department of Justice sued to block the merger.
Optum U.K. has been present in the U.K. for nearly 20 years, supporting the National Health Service and its mission, according to the announcement. Optum U.K. is a healthcare software, services and consultancy business that delivers population health management to more than 45 million people in the U.K. and medicines optimization services.
“We believe this combination will have the resources and expertise to enable us to better support the NHS and clinicians through technology innovations,” EMIS CEO Andy Thorburn said in a statement. “EMIS’s long standing track record of delivering effective technology solutions and strong financial and operating performance combined with UnitedHealth Group’s resources and expertise will enable us to accelerate our development. We therefore consider that the combined group will be well positioned to serve its customers and partners in the UK’s healthcare system, whilst ensuring EMIS remains a strong organization supporting the NHS, thereby fulfilling EMIS’s purpose of enabling better care through technology innovation.”
Amy joined TriMed Media as a Senior Writer for HealthExec after covering home care for three years. When not writing about all things healthcare, she fulfills her lifelong dream of becoming a pirate by sailing in regattas and enjoying rum. Fun fact: she sailed 333 miles across Lake Michigan in the Chicago Yacht Club "Race to Mackinac."