IBM Corp shares intention to procure medical image company Merge Healthcare Inc. The procurement comes under the time when IBM has affirmed to combine its newly formed health analytics unit, which is powered by its famous Watson supercomputer. The deal is fixed for $1 billion (roughly Rs. 6,373 crores) aiming to integrate data and images from Merge Healthcare’s medical imaging management platform with Watson’s cloud-based healthcare computing system.
The deal will help physicians and researchers collate and analyse data such as patient’s medical and family history, data on others with similar symptoms and clinical research, trials and outcomes.
“Imaging is central to effective diagnosis and treatment … but it is increasingly important to share these images between providers to deliver high quality, cost-effective care,” Dougherty and Co analyst Brooks O’Neil wrote in a note.
IBM has been recently fostering in the healthcare IT sector. The Merge deal is the company’s third major health-related acquisition since launching the Watson Health unit in April.
“Organically, we will continue to build and invest from a research perspective in core technologies,” said Stephen Gold, vice president, IBM Watson.
“We will compliment and supplement that with acquisitions,” Gold told Reuters.
With this acquisition IBM will get access 7,500 U.S. healthcare sites.
Merge Healthcare shareholders will get $7.13 per share at a premium of 31.8 per cent to Wednesday’s close, the companies said.