Merge Healthcare
About Us Press Room Investor Relations Human Resources Contact Us
Press Room
 
Press Releases

Merge eFilm Signs Definitive Agreement to Acquire RIS Logic -
Acquisition accelerates RIS/PACS strategy and expands product and service offerings to imaging center and hospital markets.

Milwaukee, WI, July 9, 2003 - Merge Technologies Incorporated (NASDAQ: MRGE), d.b.a. Merge eFilm, today announced the signing of a definitive agreement to acquire RIS Logic® Incorporated, a privately held Ohio-based company that develops and supports Radiology Information Systems (RIS) software. The acquisition price of all RIS Logic shares is $2.725 million in cash plus 772,000 shares of Merge Technologies common stock and the issuance of replacement employee stock options. The transaction is subject to closing conditions.

"The acquisition of RIS Logic is an important strategic milestone in our evolution as a healthcare software and services company focused on delivering comprehensive RIS/PACS solutions to our target market," said Rich Linden, Merge eFilm President and CEO. "The imaging center and hospital markets have clearly expressed a desire to partner with a financially strong, growing and innovative software and services company that can deliver a total solution with RIS and PACS functionality. Our combined companies can now deliver on those expectations as we become a single-source provider and long-term partner for our customers. Additionally, RIS Logic brings 64 imaging center customers representing over 200 imaging centers to the new organization. Combined with our growing number of FUSION Server PACS customers, we now have a sizable presence in our target market along with new cross-selling opportunities."

"This acquisition makes a clear statement about our intent to provide a single source solution for RIS/PACS," commented Dan Quigg, President and CEO of RIS Logic. "The RIS Logic CS solution will continue to be central to the business strategy delivered by our combined organization. We will continue to develop new features and client-driven enhancements according to our product road map, as well as continue to enhance the level of support to our existing clients. We are committed to providing the healthcare industry with an integrated business and clinical workflow solution. Together, with Merge eFilm’s PACS solutions, strong financial position and sixteen years of integration expertise, our solutions will reduce complexity for our customers, accelerate productivity, optimize reimbursements, enhance referring physician relationships, and ultimately improve the care of the patients they serve."

Commenting further, Linden said, "We anticipate closing the acquisition of RIS Logic in July and providing an update to our 2003 financial guidance during the second quarter earnings conference call scheduled for July 30th. Additionally, we plan to hold a special investors’ conference call on Thursday, July 10, 2003 at 9:00 a.m. Central Time to discuss the acquisition and answer investor questions." Information about the call is available at Merge eFilm's Web Site: http://www.merge.com/companyinformation/pressroom.htm.

***

About Merge eFilm
Merge eFilm provides integrated healthcare image and information workflow solutions that create a filmless workflow environment, address the clinical imaging needs across the healthcare enterprise, and enable cost-effective, patient-centric care. For more than sixteen years, Merge eFilm has leveraged its healthcare IT, clinical and engineering experience to create elegant and affordable solutions that improve the clinicians' productivity and enhance the quality of the care they provide. For additional information, visit our website at www.merge.com.

About RIS Logic
RIS Logic®, Inc., founded in 1997 by Dr. Frank E. Seidelmann, a diagnostic neuroradiologist, provides intuitive, comprehensive radiology information systems (RIS) to diagnostic outpatient imaging centers in the United States. RIS Logic’s strength lies in its ability to automate, integrate and replicate optimal workflow of a radiology practice. RIS Logic CS allows clients to realize substantial improvements in productivity and cash flow by integrating information and automating workflow related to scheduling, report turnaround, billing, claims processing, and other mission-critical operational functions in a practice. Additionally, the practice can uncover ways to reduce bottlenecks, maximize profits and increase revenue through practice analysis tools. RIS Logic has a client base with over 200 sites. For more information or a product tour visit www.rislogic.com.

 

Press Contact

Attn: Beth Frost-Johnson
Merge Healthcare
6737 West Washington St.
Suite 2250
Milwaukee, WI 53214

Phone:
1-(414) 977-4254

Email Address: marketing@merge.com
Except for the historical information herein, the matters discussed in this news release include forward-looking statements that may involve a number of risks and uncertainties. When used in this press release, the words “will,” “believes,” “intends,” “anticipates,” “expects” and similar expressions are intended to identify forward-looking statements. Actual results could differ materially from those expressed in, or implied by, the forward-looking statements based on a number of factors, including, but not limited to, the uncertainty created by, the adverse impact on relationships with customers, potential customers, suppliers and investors potentially resulting from, and other risks associated with, the changes in the Company’s senior management; costs, risks and effects of the investigation by the Audit Committee of the Board of Directors; the impact of the restatement of financial statements of the Company and other actions that may be taken or required as a result of such restatement; the Company's inability to timely file reports with the Securities and Exchange Commission; risks associated with the Company's inability to meet the requirements of The NASDAQ Stock Market for continued listing, including possible delisting; costs, risks and effects of legal proceedings and investigations, including the informal, non-public inquiry being conducted by the Securities and Exchange Commission and class action, derivative, and other lawsuits; risks in product and technology development, market acceptance of new products and continuing product demand, the impact of competitive products and pricing, ability to integrate acquisitions, changing economic conditions, credit and payment risks associated with end-user sales, dependence on major customers, dependence on key personnel, and other risk factors detailed in the Company’s filings with the Securities and Exchange Commission. Except as expressly required by the federal securities laws, the Company undertakes no obligation to update such factors or to publicly announce the results of any of the forward-looking statements contained herein to reflect future events, developments, or changed circumstances, or for any other reason.