Nuance Communications, Inc. (NASDAQ: NUAN), the world’s leading supplier of speech solutions, today announced it has closed the acquisition of eScription, a leading provider of computer aided medical transcription software.
The combination of Nuance and eScription will broaden the capabilities of the Dictaphone® Healthcare division to deliver scalable solutions and future innovations to the rapidly growing market for speech-enabled clinical documentation. In addition to significantly improving the way patient data is captured, processed and used, the combined company’s offerings will help healthcare organizations meet mounting industry pressures, such as spiraling costs, a shrinking pool of domestic medical transcriptionists, and regulations for fully integrated electronic medical records.
“We are excited to join forces with Nuance and expand upon our mission to improve the medical transcription process,” stated Ben Chigier, co-founder of eScription, and co-general manager of the eScription business unit. “Together we can accelerate the realization of our broader, common vision to usher in advanced, end-to-end clinical documentation that delivers healthcare organizations tangible value.”
In conjunction with the closing of the eScription transaction, Nuance also announced that it has closed its previously announced financing transaction with Warburg Pincus, whereby the global private equity firm has purchased approximately 5.76 million shares of Nuance common stock at a per share price of $17.36 per share, for an aggregate purchase price of approximately $100.0 million, and acquired a warrant to purchase approximately 3.7 million shares of Nuance common stock, exercisable at a price of $20.00 per share. Proceeds from the Warburg Pincus financing transaction were used to fund a portion of the cash consideration for the acquisition of eScription.
eScription, Inc.
eScription, Inc. is the pioneer and leader in Computer Aided Medical Transcription. The company’s software, including patented technology, is based on the simple premise that it is faster to edit than to type. With its products deployed enterprise-wide at healthcare organizations throughout the United States, eScription is helping streamline processes, speed turnaround time, and save costs of medical transcription, without interfering with clinician workflow.
Nuance’s Dictaphone Healthcare Division
Dictaphone Healthcare Solutions, a division of Nuance Communications, provides a comprehensive family of speech-driven clinical documentation and communications solutions. Dictaphone® solutions orchestrate and optimize clinical workflow, reduce transcription expense, raise standards of care via more thorough documentation, deliver results rapidly to meet patient safety guidelines, and heighten clinician satisfaction by making EMR systems easy to use. For more information, please visit www.nuance.com/dictaphone/.
Nuance Communications, Inc.
Nuance Communications, Inc. (NASDAQ: NUAN) is a leading provider of speech and imaging solutions for businesses and consumers around the world. Its technologies, applications and services make the user experience more compelling by transforming the way people interact with information and how they create, share and use documents. Every day, millions of users and thousands of businesses experience Nuance’s proven applications. For more information, please visit www.nuance.com.
Trademark reference: Nuance, the Nuance logo and Dictaphone are registered trademarks or trademarks of Nuance Communications, Inc. or its affiliates in the United States and/or other countries. All other company names or product names referenced herein may be the property of their respective owners.
Safe Harbor for Forward-Looking Statements
Statements in this document regarding Nuance’s acquisition of eScription, the product and service capabilities of the combined company and the market for those products and services, future opportunities for the combined company, and any other statements about Nuance managements’ future expectations, beliefs, goals, plans or prospects constitute forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements that are not statements of historical fact (including statements containing the words “believes,”“plans,” “anticipates,”“expects,” estimates and similar expressions) should also be considered to be forward looking statements. There are a number of important factors that could cause actual results or events to differ materially from those indicated by such forward looking statements, including: the ability of Nuance to successfully integrate the product and service offerings of the combined company, the ability to retain eScription’s partners and customers, and the other factors described in Nuance’s Annual Report on Form 10-K for the fiscal year ended September 30, 2007 and other filings with the U.S. Securities and Exchange Commission. Nuance disclaims any intention or obligation to update any forward looking statements as a result of developments occurring after the date of this document.
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Nuance Communications, Inc.
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Nuance Communications, Inc.
Holly Dewar, 781-565-5000
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