Electronics Production | July 06, 2005
Philips acquires PACS provider
Royal Philips Electronics of Holland, and US based Stentor Inc. today announced Philips will acquire Stentor.
Stentor is a provider of picture archiving and communication systems (PACS) used for storing, managing and distributing digital radiology images throughout hospitals and healthcare facilities. Philips will pay approximately USD 280 million in cash for Stentor Inc. subject to receipt of regulatory approval. Stentor's shareholders have approved the agreement and transaction. Stentor expects 2005 sales to grow to approximately USD 50 million and 2006 sales annual growth is projected at 50 % based on the company's unique "pay-per-study" business model, in which customers pay a fee to view, distribute and store medical images rather than purchase a PACS system. Stentor will be incorporated into the Healthcare IT business of Philips' Medical Systems division. From its headquarters location in Brisbane, California, Stentor will become the global headquarters of Philips' overall PACS business.