CBaySystems completes reverse takeover of CBay and CBay's simultaneous acquisition of majority of shares of MedQuist, Inc., U.S. public company from Koninklijke Philips Electronics N.V. (Philips) for $285 million
Client(s) CBaySystems Holdings Limited
Jones Day advised CBaySystems Holdings Limited, a British Virgin Islands company (AIM: CBAY), in connection with a reverse takeover of CBay through an acquisition of 57% of CBay shares by affiliates of S.A.C Private Capital Group and Lehman Brothers for $123 million, and CBay's simultaneous acquisition of 69.5% of MedQuist, Inc., a U.S. public company (MEDQ:PK) from Koninklijke Philips Electronics N.V. (Philips) for $285 million. Because the sale of a majority of CBay constitutes a reverse takeover under AIM listing rules, it will have to be approved by CBay's shareholders and trading in CBay shares will be suspended from the announcement of the transaction through the publication of an admission document. The takeover of CBay and CBay's acquisition of MedQuist will close simultaneously. The combination of CBay and MedQuist will create the world's largest medical transcription company. In addition to the reverse takeover, Jones Day also advised on antitrust and financing matters in connection with this transaction.