Inovalon To Buy Avalere Health For $140 Mln.

(RTTNews) - Inovalon ( INOV), a provider of cloud-based data analytics and data-driven intervention platforms to the healthcare industry, on Monday agreed to buy Avalere Health Inc for $140 million, comprising $135 million of cash and $5 million of restricted stock.

The deal's closing is expected to occur on or about September 1.

Avalere Health provides data-driven advisory services and business intelligence solutions to the pharmaceutical and life sciences industry.

Avalere reported $47 million of revenue in the calendar year ended December 2014 and, given the expected timing of closing, the transaction is estimated to be mildly accretive in 2015, adding a penny or less of adjusted earnings per share, Inovalon said.

The addition of Avalere, with its more than 200 pharma/life sciences clients, is expected to significantly expand Inovalon's leadership in the broader healthcare marketplace and enables the company to expand its capabilities into an expansive adjacent market.