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MERGE EFILM CLOSES ACQUISITION OF RIS LOGIC -- Acquisition ensures comprehensive suite of RIS/PACS solutions from a single-source trusted provider, supported by strong integration and workflow expertise.

Milwaukee, WI, July 17, 2003 - Merge Technologies Incorporated (NASDAQ: MRGE), d.b.a. Merge eFilm, today announced the closing of the acquisition of 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 was $2.725 million in cash plus 772,000 shares of Merge Technologies common stock and the issuance of replacement employee stock options.

Richard Linden, Merge's President and CEO, said, "With the acquisition of RIS Logic, we gain vital strategic benefits, including a broadened client base, leadership in the healthcare software and services business, and economies of scale. We will leverage this acquisition to set a new standard in integrated RIS/PACS functionality, optimize our customer support and service capabilities, and create new opportunities for our employees."

RIS Logic will operate as a division of Merge eFilm, and will maintain its Cleveland office location. Dan Quigg, former RIS Logic President and CEO, will serve as President of the RIS Logic division.

"The announcement last week of our signed definitive agreement for the acquisition of RIS Logic had a very strong and positive response from the marketplace," said Quigg. "Our customers and partners voiced their support for our combined expertise in RIS, PACS, and DICOM/HL7 integration. The closing of this acquisition allows our newly merged organization to operationalize our strategy of delivering comprehensive workflow solutions from a single, trusted, reliable provider."

dditional information about the acquisition is available at:
http://www.merge.com/rislogic/index.htm

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About Merge eFilm
Merge eFilm is a global healthcare software and services company focused on delivering a suite of RIS/PACS software solutions and professional services to hospitals and imaging centers. Our strength lies in our ability to automate, integrate and replicate optimal workflow for everyone involved in the care of the patient. 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 websites at www.merge.com and www.rislogic.com.

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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.