Allscripts acquires patient engagement platform HealthGrid for $60M cash

Allscripts has added a new mobile patient engagement platform to its existing suite of services with the acquisition of HealthGrid. 

The EHR vendor agreed to purchase HealthGrid for $60 million in cash, plus $50 million in earnout payments based on certain revenue targets, the company announced in a Securities and Exchange Commission filing on Thursday.

HealthGrid, which services more than 15,000 healthcare providers and more than 350 hospitals, focuses on improving patient-clinician interactions. Allscripts plans to "tightly integrate" HealthGrid into its FollowMyHealth portfolio, Allscripts CEO Paul Black said on an earnings call. He added that the shift toward value-based care requires a new approach to patient interactions. 

The company expects to close the acquisition by the end of the second quarter.

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HealthGrid has grown significantly over the last several years. The company reported a 70% increase in revenue growth in 2017 versus the previous year and expects similar growth in 2018. 

For Allscripts, the deal continues a spree of acquisitions over the last year that included Practice Fusion and McKesson.

The announcement came as Allscripts issued its first-quarter earnings results. The company reported a 24% increase in revenue backed by $304 million in bookings.