Monday, November 06, 2006

Hit #125 (Per-Se)

Per-Se Technologies (PSTI), the health-care services provider, is being bought by McKesson for $1.1 billion in cash. The offer, of $28/share, is a premium of 134% over my average cost of $11.98/share.

I have not included in the above calculations a small number of Per-Se shares that I got in exchange for my NDC Health shares in an earlier buyout (Hit #60). I had clearly stated that I expect Per-Se to be acquired as well.

Others like Eclipsys, Cerner and Corvel remain targets, but I wouldn't touch any of them at their current prices. I did buy a few Corvel shares not too long ago, and the shares have more than tripled in a dizzying ride up.

I own Eclipsys shares, and will be holding them till the eventual buyout. As I noted in that earlier post on NDC, I expect Oracle and IBM to make serious entries into this sector. Oracle infact had Cerner on its shopping list, as revealed during the PeopleSoft court proceedings.

Previous hit - Kos Pharma (#124)


Post a Comment

<< Home