M-Modal (NASDAQ/GS: MODL), a provider of clinical documentation services and cloud-based voice recognition software, and One Equity Partners, the private investment arm of JPMorgan Chase, announced an agreement where One Equity Partners will acquire all outstanding shares of M-Modal for $14.00 per share in an all-cash transaction that is valued at approximately $1.1 billion.
Under the terms of the agreement, which was unanimously approved by M-Modal’s Board of Directors, M-Modal shareholders will receive $14 in cash for each outstanding share of M-Modal common stock they own representing an 8.3% premium over the closing price on July 2, 2012, the last full trading day before the announcement. The deal is expected to close during the third quarter of 2012.
It is anticipated that affiliates of One Equity Partners will commence a tender offer for all shares of M-Modal no later than July 17. The M-Modal board has unanimously recommended that all shareholders accept the offer.
“M-Modal presents a unique opportunity to acquire a market leader in clinical documentation at a time when the company has successfully released its new generation of speech understanding solutions for healthcare,” said Dick Cashin, Managing Partner of One Equity Partners, in the press release.