Allscripts To Sell Its Interests In Netsmart Technologies - Quick Facts

(RTTNews) - Allscripts (MDRX) announced a definitive agreement to sell its interests in Netsmart Technologies, Inc. In March 2016, Allscripts contributed its homecare business to Netsmart, in exchange for the largest ownership stake in the company. The sale transaction is expected to yield Allscripts net after-tax proceeds of approximately $525 million or approximately $3 per fully diluted share.

Allscripts plans to use the net after-tax proceeds to repay long-term debt, invest in other growing areas of its business, and to opportunistically repurchase its outstanding common stock. Upon closing, total outstanding net debt would be reduced to approximately $500 million.