US-based healthcare IT firm Cerner has completed the acquisition of Germany-based Siemens Health Services' (SHS) assets, client relationships and associates for $1.3bn.
The acquisition will expand Cerner's annual R&D investment to $650m, and cumulative resources are expected to accelerate delivery of the company's next-generation of health IT solutions to its clients.
Cerner and SHS' former parent company Siemens are also moving forward with a strategic alliance to bring new solutions to market.
The alliance combines Cerner's health IT leadership with Siemens's medical device and imaging expertise.
Cerner co-founder Neal Patterson said: "Cerner remains focused on key development areas including population health, physician experience, open platforms, revenue cycle and mobility.
"We see these as critical areas of investment to ensure providers can meet growing regulatory demands and control costs, while continuing to improve quality of care.
"A unique feature of this acquisition is we'll continue working with Siemens AG in a R&D capacity, in order to advance the interoperability of electronic health records with medical devices."
As part of the alliance between Cerner and Siemens, each organisation will invest up to $50m during an initial three-year term, which will be used to integrate diagnostics and therapeutics into the electronic health record.
In 2015, Cerner expects revenue to be $4.8bn-$5bn, with a client base spanning 30 countries, and across more than 18,000 facilities.
SHS former CEO John Glaser joined Cerner as a senior vice-president and member of the company's executive cabinet, and will leverage his health IT background to drive policy, strategic initiatives and market innovations.
As the acquisition is complete, support for SHS core platforms will remain in place and current implementations will continue, while Cerner plans to support and advance the Soarian platform for at least the next decade.
Image: Cerner world headquarters in North Kansas City, Missouri. Photo: courtesy of Americasroof.