Ancillary software vendor Mediware Information Systems Inc. is expanding its footprint in the home health market with the acquisition of two companies in Andover, Mass.

Lenexa, Kan.-based Mediware will pay $5.5 million for Healthcare Automation Inc., which sells home health management software, and Advantage Reimbursement Inc., which provides home health billing services for infusion, pharmacy, medical equipment and other needs. Mediware will pay an additional $1.5 million if certain performance targets are met.

Healthcare Automation in early 2009 spun off Advantage Reimbursement as a separate company. Healthcare Automation's software manages such functions as patient records, scheduling, pharmacy, inventory and billing.

Mediware sells medication management, blood bank management and business intelligence applications. The acquisitions of Healthcare Automation and Advantage Reimbursement will increase Mediware's home infusion client base from 150 to 450 facilities. When the acquisitions close in mid-December, Mediware will have bought five companies in two years. The others were blood management vendor Integrated Marketing Solutions, pharmacy information systems vendor Hann's On Software, and data analytics firm SciHealth.

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--Joseph Goedert

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