Sold!
Its official, my company was just sold to A4 Health Systems. We’ll be moving our offices out of Chapel HIll and into A4’s building in Cary. Good thing I bought a house in Durham that is about halfway between the two. A few years back I was looking to build a house in Mebane, that would have been one hellacious commute (45 miles each way).
I’m keeping a positive outlook as I think it will definitely open some doors for current Canopy personnel. Hopefully corporate friction won’t slow us down too much or kill the ‘Eye of the Tiger’ svelteness that we enjoy now.
A4 Health Systems Acquires Canopy Systems To Expand Hospital Solution Offerings
Acquisition Combines Proven Leaders in Healthcare IT Market, Creates Robust Suite of Patient Information Applications for Hospitals and Healthcare Systems
(Cary, NC – 12/20/2004) – A4 HEALTH SYSTEMS®, a leading provider of Electronic Health Record (EHR) solutions, announced today it has signed an agreement to purchase Chapel Hill, NC-based Canopy Systems, Inc.™, a leader in Web-based solutions for care management. Structured as a cash and stock-based transaction, the acquisition will broaden A4’s software solutions tailored for the hospital market, allowing the company to play a more expansive role in hospital operations.
“We have been following Canopy Systems for several years now and have been continually impressed by their growth and success as well as their exceptional management team,” said John McConnell, chairman and CEO of A4. “Alan Winchester and his talented group bring a wealth of healthcare IT and care management expertise to A4, and we anticipate great achievements by this union.”
Winchester, Canopy System’s CEO, will be rejoining McConnell in company management for the first time since 1998 as executive vice president of A4. The duo co-founded Medic Computer Systems in 1982, and brings a marked history of successful joint leadership and innovation to A4.
An Application Service Provider (ASP) with a client base of more than 150 facilities across the United States, Canopy is a subsidiary of Medical Mutual Insurance Company, a leading medical professional liability insurance company in the Southeast. Canopy’s 40 employees will relocate to A4’s headquarters in Cary, NC, where they will continue to manage the care management product line.
“A4’s strength in the healthcare IT marketplace coupled with its celebrated customer service record was recognized as a tremendous asset to our future growth,” stated Winchester. “Not only will A4 advance our products and technology to the next level, but it will maintain a heritage of exceptional customer support that our clients have come to expect. ”
In the United States, the number of persons aged >65 years is expected to increase from approximately 35 million in 2000 to an estimated 71 million in 2030 (U.S. Census Bureau). The upsurge in the aging population and chronically ill places tremendous pressure on hospitals and healthcare systems challenged to deliver quality care without increasing costs.
Canopy has developed an integrated solution that enables healthcare organizations to address these challenges through secure, Web-based care management software solutions that improve the quality and cost-effectiveness of patient care—Canopy UM® for utilization management, Canopy CM® for case management and Canopy QM™ for quality management.
“Canopy Systems will serve as an excellent complement to our hospital offerings, allowing us to deliver a larger portfolio of premium products to the hospital market,” added McConnell. “With a four-year revenue growth percentage of 770 percent and an esteemed group of clients that includes Duke University Health System, UPMC Health System, Adventist Health System and UC-San Francisco Medical Center, we are extremely proud to make Canopy a part of our organization.”
About A4 HEALTH SYSTEMS
A4 HEALTH SYSTEMS is dedicated to promoting community-based healthcare via HEALTHMATICS Electronic Health Record Solutions for consolidated clinical, financial and administrative patient information management. Founded in 1970, A4 has nationally implemented software and services in more than 1,400 healthcare organizations, including physician groups and small practices, and Emergency Departments and hospitals. For physicians’ practices, the company provides HEALTHMATICS EMR Electronic Medical Record, HEALTHMATICS NTIERPRISE Practice Management System and HEALTHMATICS® EDi Transaction Services. For hospitals, A4 offers HEALTHMATICS® CDR Clinical Data Repository and claims the country’s largest Emergency Department Information Systems client base with the HEALTHMATICS® ED and EmSTAT solutions. A4 is based in Cary, N.C., with additional locations in Michigan, Texas and New Hampshire. The company is privately held with 325 employees. For more information, visit www.a4healthsystems.com.
About Canopy Systems
Canopy Systems, Inc., Chapel Hill, NC, (www.canopysystems.com) is the leader in providing secure, Web-based solutions for care management. The Canopy® product line utilizes the ASP model to provide utilization, case, and denial management applications across the continuum of care. Canopy Systems, Inc. is a subsidiary of The Medical Mutual Group of North Carolina.