Blackstone completes buy of Emdeon

November 2, 2011

NASHVILLE (AP) -- Healthcare payment technology company Emdeon Inc. said Wednesday that The Blackstone Group completed a deal to take the company private.

Under terms of the deal announced in August, Emdeon stockholders will receive $19 in cash per share. The stock has ceased trading on the New York Stock Exchange.

Shareholder Hellman & Friedman will keep a "significant minority" interest in the company.

According to a Securities and Exchange filing last month, Emdeon had about 115.8 million shares outstanding, which would imply the deal is worth $2.2 billion. Emdeon and Blackstone value the deal at about $3 billion.

Emdeon CEO George Lazenby said the deal will help it evolve its offerings and make healthcare more efficient. Blackstone senior managing director Neil Simpkins praised the company's innovation and track record.

New York-based Blackstone manages a portfolio of real estate, hedge funds, private equity and related businesses. Among the companies that it has helped take private include arts and crafts retailer Michaels Stores Inc.