NASDAQ DROPS TWO HEALTHCARE IT VENDORS
Troubled practice management systems vendor Physician Computer Network (OTC: PCNIE) was delisted from the Nasdaq Stock Market after the company failed to file its quarterly and annual reports. Nasdaq rules obligate companies to submit SEC filings in a timely manner to determine whether or not they meet the requirements for listing on the Nasdaq market. The company has postponed its SEC filings pending the results of a financial report from its auditors. In April, the company reported that its losses in 1997 could total $80 million--$50 million more than was reported one month earlier.
Also delisted from the Nasdaq was PACE Health Management Systems (OTC: PCES), West Des Moines, Iowa. The company was unable to maintain a minimum stock value of $1.00 per share and net tangible assets above $2 million as required by the Nasdaq SmallCap Market. PACE’s stock value has slid from $4.00 per share to about $.25 per share in the past year. Accenting the company’s financial woes, net revenues for the quarter ended March 31 were down 53 percent from the same period in 1997.
QUADRAMED MAKES ANOTHER MAJOR ACQUISITION
QuadraMed Corp., Larkspur, Calif., announced its intent to purchase healthcare information consulting and outsourcing firm Pyramid Health Group, San Jose, Calif., for approximately 2.7 million shares, or about $65 million worth of QuadraMed common stock. The deal provides the company with a means to enhance products it already has with related service offerings--particularly medical records administration, says John Cracchiolo, QuadraMed’s president and COO. Privately-owned Pyramid has approximately 600 healthcare customers. QuadraMed just recently completed the $45 million acquisition of Medicus Corp. QuadraMed also announced it had purchased compliance consulting company MetriCor Inc. for about 84,000 shares of QuadraMed common stock.
INTEL INVESTS IN ABATON.COM
Minneapolis-based Abaton.com, Inc. announced that computer chip maker Intel Corp., Santa Clara, Calif., made a significant investment in the company as part of its latest round of financing that raised $9 million. The investment coincides with a strategic partnership between Intel and Abaton.com in which the two companies will explore mutually beneficial technologies including security, mobile, audio and video applications.
HEALTHDYNE EXPANDS MIDDLEWARE BUSINESS
Healthdyne Information Enterprises, Marietta, Ga., announced it had bought another middleware company, Columbus, Ohio-based HUBLink, Inc., for approximately 3 million shares of Healthdyne common stock. Healthdyne acquired Dallas-based Healthcare Communications, Inc., also an interface engine vendor, last year.
HL7, AWG ANNOUNCE FORMAL RELATIONSHIP
Health Level Seven (HL7) and the Andover Working Group (AWG) signed a formal agreement that allows AWG, the software framework development organization founded by Hewlett-Packard, to incorporate portions of the HL7-copyrighted messaging standard in its commercialized Enterprise Communications Framework product.
IDX ACQUIRES CONSULTING FIRM
IDX Systems Corp., Burlington, Vt., announced it has acquired Laureate Enterprises, Seattle, a consulting and installation services firm that specializes in the LastWord clinical information system. IDX acquired the LastWord product when it purchased Phamis, Inc. in 1997.
HIGHMARK DIVESTS SYNERTECH
Managed care information systems developer Synertech, Harrisburg, Pa., was acquired by Platinum Equity Holdings of Los Angeles, a holding company of various technology-based enterprises. Synertech, formerly a subsidiary of Pittsburgh-based insurance company Highmark, emerged on the managed care product development scene with its acquisition of Health Systems Integration, Inc. last year.
DATEX-OHMEDA BUYS PERIOPERATIVE PRODUCT
Liberty Corner, N.J.-based Datex-Ohmeda, a subsidiary of Finnish company Instrumentarium Corp., announced it had purchased Intelligent Optimization, L.C., Clayton, Mo., developers of OptimizOR, a perioperative information system product that is scheduled for release in 1999.