Legend Acquisition Sub Buys M*Modal

Legend Acquisition Sub Inc., which is backed by private equity firm One Equity Partners, has completed its its tender offer for all outstanding shares of common stock of M*Modal, the companies announced Monday.



M*Modal (MModal Inc.) (NASDAQ/GS: MODL) and One Equity Partners (“OEP”), the private investment arm of JP Morgan Chase & Co., today announced that Legend Acquisition Sub, Inc. (an affiliate of OEP) successfully completed its tender offer for all outstanding shares of common stock of M*Modal.


As previously announced, the offer and withdrawal rights expired at 11:59 p.m., New York City time, on August 14, 2012. All shares that were validly tendered into the offer and not properly withdrawn have been accepted for payment and paid for in accordance with the terms of the offer at the offer price of $14.00 per share, net to the seller thereof in cash, without interest thereon and less any applicable withholding taxes.


M*Modal and OEP also announced today the successful acquisition of M*Modal by Legend Parent, Inc. (an affiliate of OEP) following the completion of a “short-form” merger under Delaware law after Legend Acquisition Sub, Inc. exercised its top-up option under the merger agreement, by which M*Modal became a wholly owned direct subsidiary of Legend Parent, Inc.


“This milestone event comes at a most pivotal moment in our company’s history,” said Vern Davenport, Chairman and CEO of M*Modal. “With all that the dedicated people of M*Modal have accomplished this past year, M*Modal is now uniquely positioned as a critical player in impacting the quality of healthcare and controlling its costs. Together, with our global force of highly skilled clinical transcriptionists and medical coders, our advanced Speech Understanding technology and our comprehensive workflow solutions, our new ownership can now fuel the growth and expansion of this powerful combination of talent and technology.”


M*Modal’s headquarters will remain in Franklin, Tennessee, and M*Modal expects to maintain all of its other offices. As a result of the completion of the merger, the common stock of M*Modal is no longer listed for trading on The NASDAQ Global Market.


About M*Modal


M*Modal is a leading provider of clinical transcription services, clinical documentation workflow solutions, advanced cloud-based Speech UnderstandingTM technology, and advanced unstructured data analytics. Recognized as the largest clinical transcription service in the U.S. with a global network of medical editors, M*Modal also offers voice to text solutions to capture the complete patient story, codifies the doctor’s narrative to automatically populate EHRs and other key healthcare information systems, delivers computer-assisted coding to support ICD-9 and the transition to ICD-10, and provides highly advanced analytical tools for exploring the richness within the “unstructured” narrative for improvements in quality of care, greater physician satisfaction and lower operational costs.


About One Equity Partners


Founded in 2001, OEP currently manages a $10 billion portfolio of proprietary investments and commitments of JP Morgan Chase & Co. By working in partnership with owners and managers, OEP invests in transactions that promote strategic and operating change, creating long-term value. OEP invests globally and has offices in New York, Chicago, Frankfurt, Vienna, Hong Kong and São Paulo. Visit www.oneequitypartners.com for more information.