By MATT BLOIS
The Minnesota manufacturing company 3M finalized a $1 billion deal to purchase part of the Franklin tech company M*Modal earlier this month.
3M makes a wide variety of products including adhesive tapes, sandpaper, face wipes and scissors. The massive company has a hand in at least a dozen different industries including health care technology.
M*Modal provides technology that is designed to help physicians to improve the patient experience, while enhancing documentation accuracy and operational efficiency.
A press release from 3M estimates that M*Modal’s technology business will generate about $200 million a year in revenue.
— M*Modal (@MModal) February 1, 2019
Executive vice president of 3M’s health care business group Mike Vale said in a press release the acquisition builds on 3M’s plan to invest in health care information systems business.
The company’s health information systems business already works with more than 8,000 healthcare organizations, both providers and payers.
3M isn’t buying all parts of M*Modal. The company will still have a separate transcription service, medical scribe service and a coding service. According to a press release, 3M will maintain a business relationship with the rest of M*Modal’s business.
3M announced its decision to buy M*Modal’s technology business in December, but announced the completion of the deal on February 1.