Published: September 15, 2008
WebMD to Acquire QualityHealth.com
NEW YORK, Sept. 15 /PRNewswire-FirstCall/ -- WebMD Health Corp.
(Nasdaq: WBMD), the leading source of health information, today announced that
it has entered into a definitive agreement to acquire QualityHealth.com and
its owner, Marketing Technology Solutions Inc. (MTS). The acquisition will add
performance-based marketing programs to WebMD's extensive product portfolio
and expands the breadth of its offerings to the biopharmaceutical and
healthcare markets. Using proprietary data analytic technology,
QualityHealth.com effectively delivers targeted health information and
personalized programs to its consumer members based on individual need.
Established in 1999, QualityHealth.com is one of the 10 largest health
websites, with approximately 5.5 million unique monthly visitors.
QualityHealth's traffic will complement WebMD's reach of more than 48 million
unique monthly visitors and over 1.1 billion quarterly page views, further
differentiating WebMD's brand and expanding its high quality, health engaged
audience.
"Adding QualityHealth.com's proven performance-based marketing programs to
the WebMD portfolio of owned and operated sites will enable us to deliver even
greater value to our customers and capture a larger share of overall consumer
marketing budgets," said Wayne Gattinella, CEO, WebMD. "I look forward to
welcoming the QualityHealth.com team to the WebMD organization."
"We are very excited that QualityHealth is becoming part of WebMD," said
Helene Monat, CEO, MTS. "Our combined resources and experience will allow us
to both accelerate the success of our business and better serve our clients."
The purchase price for MTS is $50 million in cash, payable at closing, and
WebMD has agreed to pay up to an additional $25 million in cash if certain
performance thresholds are achieved relating to calendar year 2009. For the
year ended December 31, 2007, MTS had revenue of approximately $21 million and
earnings before interest, taxes, depreciation, amortization and other non cash
expenses was approximately break-even. The acquisition, which is subject to
customary closing conditions, is expected to close within 30 days.
About WebMD
WebMD Health Corp. (Nasdaq: WBMD) is the leading provider of health
information services, serving consumers, physicians, healthcare professionals,
employers and health plans through our public and private online portals and
health-focused publications. WebMD Health Corp. is a subsidiary of HLTH
Corporation (Nasdaq: HLTH).
The WebMD Health Network reaches more than 48 million visitors a month
through its leading owned and operated health sites that include WebMD Health,
Medscape, MedicineNet, eMedicine, eMedicine Health, RxList and theheart.org.
About Marketing Technology Solutions
Marketing Technology Solutions (MTS) is a media and technology company
specializing in servicing health consumers and advertisers through proprietary
algorithms that personalize health content based on a unique
Healthographic(TM) consumer profile. MTS specializes in connecting clients'
brands with health-conscious consumers through data-driven patient education,
targeted customer acquisition, syndicated research, and permission-based
interactive marketing.
All statements contained in this press release, other than statements of
historical fact, are forward-looking statements, including those regarding:
the benefits expected from the transaction referred to in this press release,
from deployment of new products and services and from other potential sources
of additional revenue. These statements are based on WebMD's current plans and
expectations and involve risks and uncertainties that could cause actual
future events or results to be different than those described in or implied by
such forward-looking statements. These risks and uncertainties include those
relating to: market acceptance of WebMD's products and services; WebMD's
ability to form and maintain mutually beneficial relationships with customers
and strategic partners; and changes in economic, political or regulatory
conditions or other trends affecting the healthcare, Internet and information
technology industries. Further information about these matters can be found
in WebMD's Securities and Exchange Commission filings. Except as required by
applicable law or regulation, we do not undertake any obligation to update our
forward-looking statements to reflect future events or circumstances.
SOURCE WebMD
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