MOUNTAIN VIEW, Calif., Dec. 14, 2016 /PRNewswire/ -- Omnicell, Inc. (NASDAQ: OMCL), a leading provider of medication and supply management solutions and adherence tools to healthcare systems and pharmacies, today announced the completed acquisition of Ateb, Inc., together with its Canadian affiliate, Ateb Canada Ltd. This acquisition reinforces the commitment by Omnicell to improve patient care and outcomes by simplifying management of chronic conditions through increased access to medication adherence solutions.
Ateb is the industry's leading provider of pharmacy-based patient care solutions and medication synchronization to independent and chain pharmacies. Ateb's Time My Meds® is an integrated medication synchronization program that improves pharmacy performance by providing the foundation for the appointment-based model of medication refill pickup and consultation. Medication synchronization is the first step in developing an adherence pharmacy, and acts as a natural precursor to implementing additional adherence tools such as multi-medication blister packaging.
Combining Omnicell's SureMed® medication adherence packaging and related automation with Ateb's innovative patient engagement platform into one product portfolio uniquely positions the Company to support pharmacists as they implement and scale their adherence programs. This acquisition enables pharmacists to improve patient outcomes in retail settings, addressing the problem of medication non-adherence - which carries an estimated avoidable cost of more than $105 billion in the U.S. alone.i
"By understanding the clinical and fiscal challenges these providers face, Omnicell now offers a portfolio of products and services that address the need for improved adherence across the continuum of care," said Troy Hilsenroth, RPh, vice president and general manager of Medication Adherence at Omnicell. "We are excited about the strong potential of the combined entity, and to continue our mission of improving adherence and patient outcomes."
Transaction Highlights
The final purchase price paid by Omnicell was approximately $41 million, which included cash-on-hand of the acquired companies at the closing. To finance the acquisition, Omnicell used available cash-on-hand and revolving loans under its existing senior secured credit facility.
Ateb recorded approximately $27 million of revenue during the 12-month period ended September 30, 2016. Omnicell expects the transaction to be accretive immediately on a Non- GAAP basis and will provide further financial guidance during its 2016 fourth quarter earnings conference call.
About Omnicell
Since 1992, Omnicell (NASDAQ: OMCL) has been inspired to create safer and more efficient ways to manage medications and supplies across all care settings. As a leader in medication and supply dispensing automation, central pharmacy automation, IV robotics, analytics software, and medication adherence and packaging systems, Omnicell is focused on improving care across the entire healthcare continuum—from the acute care hospital setting, to post-acute skilled nursing and long-term care facilities, to the patient's home.
Over 4,000 customers worldwide use Omnicell® automation and analytics solutions to increase operational efficiency, reduce medication errors, deliver actionable intelligence and improve patient safety. The recent acquisition of Aesynt adds distinct capabilities, particularly in central pharmacy and IV robotics, creating the broadest medication management product portfolio in the industry.
The Omnicell SureMed® solution provides innovative medication adherence packaging to help reduce costly hospital readmissions. These medication adherence solutions are used by over 32,000 institutional and retail pharmacies in North America and the United Kingdom. These pharmacies are served via Omnicell's sales channels and our solutions enable them to maintain high accuracy and quality standards in medication dispensing and administration while optimizing productivity and controlling costs.
For more information about Omnicell, Inc. please visit www.omnicell.com.
Forward-Looking Statements
This release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements relating to the acquisition of Ateb, Inc. and its Canadian affiliate, Ateb Canada Ltd., and the expected impact of the acquisition, including on the expected financial results of Omnicell. As such, they are subject to the occurrence of many events outside Omnicell's control and are subject to various risk factors that could cause actual results to differ materially from those expressed or implied in any forward-looking statement. Risks include, without limitation, risks associated with business combination transactions, such as the risk that the
businesses will not be integrated successfully, that such integration may be more difficult, time-consuming or costly than expected or that the expected benefits of the acquisition will not occur; risks related to future opportunities and plans for the combined company, including uncertainty of the expected financial performance and results of the combined company following completion of the proposed acquisition; disruption from the proposed acquisition, making it more difficult to conduct business as usual or maintain relationships with customers, employees or suppliers; and the possibility that if the combined company does not achieve the perceived benefits of the proposed acquisition as rapidly or to the extent anticipated by financial analysts or investors, the market price of Omnicell's shares could decline. Other risks that
contribute to the uncertain nature of the forward-looking statements include our ability to take advantage of the growth opportunities in medication management across the spectrum of healthcare settings, including by increasing patient access to medication adherence solutions through relationships with pharmacies, unfavorable general economic and market conditions, risks to growth and acceptance of our products and services, the potential of increasing competition, potential regulatory changes and the ability of the company to improve sales productivity to grow product bookings, to develop new products and to acquire and successfully integrate companies. These and other risks and uncertainties are described more fully in Omnicell's most recent filings with the Securities and Exchange Commission. Prospective investors are
cautioned not to place undue reliance on forward-looking statements. All forward-looking statements contained in this press release speak only as of the date on which they were made. Omnicell undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made.
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Editor's Notes:
- All Omnicell news releases (financial, acquisitions, products, technology etc.) are issued exclusively by PR Newswire and are immediately thereafter posted on the company's external website, omnicell.com.
- Omnicell, the Omnicell logo design, and SureMed are registered trademarks of Omnicell, Inc.
- All other brand or product names may be trademarks or registered trademarks of their respective companies.
iIMS Institute for Healthcare Informatics. Avoidable costs in U.S. healthcare: the $200 billion opportunity from using medicines more responsibly. June 2013 Available at: http://www.imshealth.com/deployedfiles/imshealth/ Global/Content/Corporate/IMS%20Institute/RUOM-2013/IHII_Responsible_ Use_Medicines_2013.pdf. Accessed May 7, 2014.
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SOURCE Omnicell, Inc.
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