3M Company (MMM - Free Report) has acquired CodeRyte Inc., well known in the domain of clinical natural language processing (NLP) technology and computer-assisted coding solutions for healthcare outpatient providers. Headquartered in Bethesda, Md., CodeRyte Inc. employs about 130 people. The requisites for the deal have not been revealed.
3M has been working with CodeRyte since 2009 and more than 60 3M clients are using CodeRyte’s computer-assisted coding technology. The advanced NLP technology from CodeRyte facilitates physicians and coders in delivery of fast, accurate and complete coding information. CodeAssist, CodeComplete and DataScout are the various CodeRyte products.
The NLP technology will be applied on the new 3M 360 Encompass System. CodeRyte’s powerful NLP engine would complement 3M’s proficiency in coding, reimbursement and patient classification. This would make way for further innovation.
Problems related to clinical documentation and coding workflows are handled by 3M 360 Encompass System. The acquisition would therefore be synergistic to 3M’s technology.
3M Company, together with its subsidiaries, operates as a diversified technology firm with manufacturing operations spread over 60 countries worldwide. It has more than 35 business units organized into six segments: Consumer and Office, Display and Graphics, Electro and Communications, Healthcare, Industrial and Transportation, and Safety, Security and Protection Services Business. The major competitors of 3M are Avery Dennison Corporation (AVY - Free Report) , EI DuPont de Nemours & Co. and Johnson & Johnson (JNJ - Free Report) .
We continue to maintain a Neutral recommendation on 3M Company for the long term while the stock retains a Zacks #4 Rank (Sell Rating) over the next one- to- three months.