Emageon Seeks a Buyer

HDM Breaking News, July 14, 2008

Emageon Inc. has retained investment firms Jefferies and Co. and SunTrust Robinson Humphrey as co-advisors as the medical imaging software vendor evaluates its strategic options, including a sale of the company.

Birmingham, Ala.-based Emageon lost $4.6 million in the first quarter of 2008 as revenue dropped 30% to $19.3 million. The company also recently settled a proxy contest with New York-based Oliver Press Partners LLC, a major shareholder.

Under the agreement, CEO Charles Jett and Douglas French, former president and CEO of Ascension Health, resigned from the board, with Jett continuing to serve as CEO at the board’s discretion. Two employees of Oliver Press Partners were named to the board. Another director, Mylee Mangum, resigned and then was reappointed under the agreement with Oliver Press Partners.

Emageon also has announced a contract with Williston, N.D.-based HealthNet LLC for its enterprise picture archiving and communication system and related workflow and visualization software.

HealthNet is a joint venture of four hospitals in North Dakota and Montana to implement and manage a hospital information system from Medical Information Technology Inc., Westwood, Mass. The hospitals buying the PACS are Glendive Medical Center and Sidney Health Center, both in Eastern Montana.

More information is available at emageon.com.

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