Terms were not disclosed for the deal, which is expected to be completed by April 1.
CredenceHealth, an 18-month-old Nashville, Tenn., firm that employs about 12, sells via a software-as-a-service model clinical surveillance software that monitors patient data in real time from hospitals' electronic medical record systems.
The tools provide clinicians with alerts on changes in patients that could indicate the development of complications and other issues so that earlier intervention can be offered, said Justin Lanning, CEO of CredenceHealth, in an interview. Lanning will take on the job of VP of business development of ACS Midas+ after the acquisition.
Midas is ACS's brand name for its offering of cloud-based managed care software, which until now offered more "retrospective" type of functionality to evaluate patient data after individual's were discharged from hospitals, said Tom Simas, managing director of ACS's Midas+ product line, in an interview. ACS's Midas+ software, which includes workflow and administrative reporting tools, is used by about 1,300 hospitals in the U.S., said Simas.
The acquisition of CredenceHealth and the addition of the rebranded Midas+ Live software helps expand ACS's offering with "real-time, point of care" tools that can help clinicians spot early signs of patients developing serious complications including sepsis, pressure sores, and extreme glycemic aberrancies, he said.
The goal is to help hospitals improve quality of care as well as reduce preventable readmissions of patients who were at risk for developing complications, he said.
The Midas+ Live software can work with any e-medical record software, said Lanning. "We're EMR agnostic," he added.
The acquisition of CredenceHealth is a continuation of ACS's strategy to expand its healthcare software and services offering through purchases and private label partnerships, said Simas. In recent years, ACS has also acquired Statit, a maker of healthcare data analysis tools.
The Midas cloud-based offering is also an important part of ACS' plans to provide software and services to the emerging market of accountable care organizations that's taking shape with healthcare reform, said Simas.