CBay acquires Spheris India ops

CBay Holdings,a leading provider of technology-enabled clinical documentation and related healthcare revenue cycle solutions,has announce that the a US bankruptcy court has approved the sale of select operating assets and liabilities of Spheris.

Under the terms of the acquisition,MedQuist will acquire Spheris’ North American assets and CBay Inc will acquire the entire stock of Spheris India Private Limited. The total consideration for the acquisition is US$116,333,901,to be satisfied by US$98,833,901 in cash and US$17,500,000 via an unsecured subordinated promissory note issued by MedQuist Transcription,Ltd. The company anticipates that the Acquisition will close during April.

Spheris is a global provider of clinical documentation technology and services and is based in Franklin,Tennessee,with operations in North America and India. Spheris had consolidated revenues of US$182.8 million and a net loss of US$19.2 million for the year ended 31 December 2008. Gross assets were US$275 million as at 31 December 2008,of which US$219 million is goodwill.