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Digirad Acquires DMS Health Technologies for $36M

October 16, 2015
by Heather Landi
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Suwanee, Ga.-based medical digital imaging company Digirad Corporation has acquired DMS Health Technologies for $36 million in cash.

Headquartered in Fargo, North Dakota, DMS Health provides medical equipment and mobile diagnostic imaging services with a focus on small and regional hospitals throughout the country, and its market is primarily concentrated in the upper Midwest region.

“DMS Health has a significant presence in the upper Midwest, a region that is currently absent in our diagnostic services business map, and specializes in the provision of mobile MRI, CT, and PET/CT imaging, all modalities that we do not currently offer,” Matt Molchan, Digirad's president and CEO, said in a statement. “Further, DMS Health has a long standing partnership with Philips Healthcare North America equipment sales and service.  These are just a few of the numerous synergistic and diversification opportunities this acquisition provides to Digirad. We believe the new, combined company will be much stronger than either company would be on its own."

“The integration of DMS Health and Digirad will enable the combined company to expand its range of customers serviced as well as provide significant geographical and service level diversification.  DMS Health is an ideal strategic fit for us and our commitment to providing healthcare solutions on an as needed, when needed, and where needed basis,” Molchan said.

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