US scientific, engineering, and technology applications company Science Applications International Corp (SAIC) will acquire information technology consulting firm maxIT Healthcare Holdings Inc in a $473 million cash deal.
The McLean, Virginia-based Fortune 500 company will pay approximately $473 million from cash-on-hand and an additional $20 million to maxIT Healthcare shareholders after receiving certain tax refunds following closing of the deal.
Westfield, Indiana-based maxIT Healthcare is the largest independent private healthcare IT consulting company in North America.
It provides a range of healthcare IT services and solutions primarily to commercial hospital groups and other medical delivery organisations, which include IT strategy and planning, electronic health record (EHR) implementation and optimisation, and management consulting that meets with the US government's need to obtain incentive payments from the government in connection with implementing EHR capability.
maxIT Healthcare serves more than 600 hospitals, hospital groups, physician practices and accountable care organisations in the US and Canada.
The merger creates the nation's largest commercial consulting practice in EHR implementation and optimisation services, according to SAIC.
As part of the deal, around 1,300 employees from maxIT Healthcare will join SAIC's health solutions business unit.
''The maxIT Healthcare team brings significant capabilities and talent to SAIC, as well as an outstanding reputation with its customers for providing the highest level of service," said SAIC Group president Joe Craver.