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.
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.
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.