Cerner (NASDAQ: CERN) has moved closer to completing its \$1.3 billion purchase of Siemens‘ (NYSE: SI) health information technology unit after the U.S. Federal Trade Commission approved the transaction.
“We’re pleased to have cleared this important regulatory hurdle and to be one step closer to integrating Siemens Health Services and its clients into the Cerner family, ” Dick Flanigan, Cerner senior vice president said Thursday.
The companies expect the acquisition to wrap up in the first quarter of 2015 and would invest up to $100 million combined to develop new health IT platforms.
Cerner and Siemens also agreed to combine their medical technologies to embed electronic health information into diagnostic and therapeutic systems.
The Cerner-Siemens Health Services combination is projected to generate $4.5 billion in annual revenue as well as spend $650 million in research and development each year.