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In largest acquisition since LinkedIn.
By Bloomberg News
13 Apr 2021 06:37
Image: Bloomberg
Microsoft is buying speech-recognition pioneer Nuance Communications Inc. in an all-cash deal valued at $19.6 billion, gaining artificial-intelligence technology aimed at helping doctors predict patientsâ needs and upgrading hospitalsâ digital record-keeping.
The software giant is offering to purchase Nuance at $56 a share, a 23% premium to Fridayâs close, according to a statement Monday, which confirmed an earlier Bloomberg report. The deal marks Microsoftâs largest acquisition since LinkedIn.
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The transaction value is derived by the $56 a share multiplied by about 350 million fully diluted shares of Nuance, including stock options and stock awards. The acquisition will decrease earnings by less than 1% in the year that begins July 1 and start to add to profit the following year, Microsoft said.
Microsoft is tapping the company tied to the Siri voice technology to develop solutions that free doctors from note-taking and better determine health-care needs. It has been working with Nuance for two years on AI software that helps clinicians capture patient discussions and integrate them into electronic health records, and combining the speech technology company’s products into its Teams chat app for telehealth appointments.
Microsoft to Acquire Nuance for $19 6 Billion in Health dailymaverick.co.za - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from dailymaverick.co.za Daily Mail and Mail on Sunday newspapers.