Health-care hungry Hyland Software acquires Meditech-friendly Valco Systems

WESTLAKE, Ohio — The content management company Hyland Software has purchased health-care focused Valco Data Systems to strengthen Hyland’s position in its largest and fastest-growing segment.

Hyland thinks it can help “complete” a health-care company’s electronic record system by scanning, storing and managing older paper documents many health companies do not integrate into their systems.

Valco, based in New Hampshire, works with 300 hospitals and has a service for non-clinical sections of a hospital as well as an electronic-record line that serves patients, physicians and other hospital staff. Its software works with the leading health-care software company, MEDITECH.

Hyland has a health-care client base that includes more than 750 hospitals, doctors physicians’ offices and other health-care organizations.

Terms of the transaction were not disclosed.

Hyland’s move is the latest consolidation in the electronic health record space, as companies acquire businesses or add private equity to try and capture some of the $19 billion in federal stimulus money set aside for electronic medical record integration.

GE recently announced a zero-interest loan program to entice customers to buy its electronic medical records equipment. In February, Mayfield Heights software company Noteworthy Medical Systems was purchased by the German company CompuGROUP Holding AG.

[Photo courtesy of Flickr user fuzzcat]