Computer Programs and Systems, Inc. is a healthcare information technology company that designs, develops, markets, installs and supports computerized information technology systems to meet the demands of small and midsize hospitals. Its target market includes acute care community hospitals with 300 or fewer beds and small specialty hospitals. The Company provides comprehensive software and hardware products, complemented by data conversion, complete installation and extensive support. Its fully integrated, enterprise-wide system automates the management of clinical and financial data across the primary functional areas of a hospital. In addition, the Company provides services that enable its customers to outsource certain data-related business processes that it can perform more efficiently. The Company's products and services are designed to enhance hospital performance in the areas of clinical care, revenue cycle management, cost control and regulatory compliance.
Morgan Keegan's Role
In May 2002, Morgan Keegan raised $56.9 million in equity capital for CPSI and several selling shareholders in a managed initial public offering (IPO) of 3.0 million shares and an over-allotment of 450,000 shares. Morgan Keegan effectively positioned CPSI by highlighting its unique strategy within the Healthcare IT industry, which differentiated CPSI from other publicly traded healthcare IT companies. Morgan Keegan's balanced distribution of the shares led to an extremely favorable trading environment after the transaction. Morgan Keegan orchestrated an efficient process that took four months from initial due diligence to closing.
Marketing
Roadshow: Morgan Keegan led the CPSI management team on a two-week roadshow, ultimately placing the shares approximately 60% institutionally and 40% retail.
Participating Institutions: Essex Investment, Janus Capital, Lord, Abbet, Bank of America, J.P. Morgan, and Strong Capital Management.
After-market Support
Trading: Morgan Keegan continues to handle over 50% of all block trades. Research: Since initiating coverage, Morgan Keegan Equity Research has issued numerous notes on the Company.
Sponsorship: Morgan Keegan has arranged marketing trips to institutions on many occasions. Additionally, the Company has presented at several of Morgan Keegan's investor conferences.
