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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT: April 15, 1996
(Date of the Earliest Event Reported)
HEALTHSOURCE, INC.
(Exact name of Registrant as specified in its charter)
New Hampshire 1-11538 02-0387748
(State or other (Commission File (I.R.S. Employer
jurisdiction of Number) Identification Number)
incorporation)
Two College Park Drive
Hooksett, New Hampshire 03106
(Address of principal executive offices) (Zip Code)
603/268-7000
(Registrant's Telephone Number, including area code)
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Items 1-4. Not applicable.
Item 5. Other Events.
On April 15, 1996, Healthsource, Inc. announced that it had signed a
letter of intent to pay an aggregate consideration of $27 million to acquire
Health Direct, Inc., located in Des Plaines, Illinois, and to enter into a
ten-year, globally capitated provider agreement with Advocate Health Care, a
leading eight-hospital health care system in the greater Chicago area, and its
affiliates. Health Direct is a 25,000 member HMO serving the Chicago
metropolitan area. The letter of intent is non-binding and subject to
completion of due diligence, the negotiation of definitive stock purchase and
provider agreements and the receipt of regulatory and other approvals; no
assurance can be given that definitive agreements will be reached or that such
approvals will be obtained.
Health Direct had 1995 revenues of $29 million. It is a for-profit affiliate of
Advocate Health Care, which was formed in 1995 through the merger of Lutheran
General Health System and Evangelical Health System. Health Direct offers a
complete range of fully-insured managed care products and plans including
commercial HMO and Medicare risk HMO.
Items 6-8. Not Applicable.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
HEALTHSOURCE, INC.
Dated: April 17, 1996 By: /s/ Thomas M. Congoran
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Thomas M. Congoran
Chief Financial Officer
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