Cerner has completed its $1.3 billion acquisition of Siemens Health Services, the healthcare IT business of Siemens Healthcare.
Cerner and Siemens initially announced the deal in August 2014. The addition of the business into Cerner will bring the company's revenue in 2015 to approximately $4.8 billion to $5 billion, with a client base of more than 18,000 facilities in more than 30 countries.
Cerner said the new company will have a combined annual R&D investment of $650 million, and as part of the deal Cerner and Siemens implemented a strategic partnership that calls for each company to contribute $50 million during an initial three-year term. The early focus of the alliance will be on integrating diagnostics and therapeutics into electronic health records.
John Glaser, former CEO of Siemens Health Services, has joined Cerner as senior vice president and a member of the company's executive cabinet. He will support former Siemens Health Services clients as they transition to Cerner, the company said.
At present, Siemens' RIS product line is not part of the acquisition and remains with Siemens. However, there have been rumors in the industry that Cerner is interesting in acquiring that business as well.
