Under the deal, KKR will pay WebMD shareholders $66.50 per share.
The firm will also bring WebMD’s health information websites — including WebMD.com and Medscape.com — into its internet brands unit. The unit also houses health information websites like DentalPlans.com and AllAboutCounseling.com.
The acquisition comes five months after WebMD said it was experiencing a decrease in pharmaceutical company advertising, according to Reuters. As of 2016, WebMD’s medical news publication Medscape accounted for 60 percent of its advertising revenue.
The deal is expected to close in the fourth quarter of 2017.
More articles on health IT:
Change Healthcare joins its 2nd blockchain group
Jefferies advises against Watson investments: ‘IBM appears outgunned in the war for AI talent’
Report: 10 most-clicked email subject lines for phishing attacks
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.