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Inflexion leads the £13m MBO of Healthcare Knowledge Systems International Limited

Inflexion Private Equity, the mid-market private equity investor, has announced today that it has led the management buy-out of Healthcare Knowledge Systems International Ltd (“HKSI”), the leading provider of value-added healthcare information services to hospitals in the UK and Spain.

CHKS, HKSI’s UK subsidiary, provides information and decision support services that enable NHS Trust board members and departmental heads to monitor and manage the quality and efficiency of their hospitals. The services include the publication of comprehensive reports, drawn from a unique data set, on topics such as clinical governance issues. The Company, established in 1989, has approximately a 70% market share in the UK of total UK inpatient activity.

In Spain, HKSI, through its subsidiary, IASIST SA, provides services and products similar to the UK market but tailored to the demands of the Spanish healthcare market.

Funds managed by Inflexion have invested approximately £5m through a combination of ordinary shares and loan notes. The management team has also invested significantly and HSBC provided the senior debt finance package. Charles Thompson and Amanda Luckett from Inflexion will join the Board of HKSI.

John Hartz, Managing Partner of Inflexion Private Equity, said;

“We are very pleased to be backing the management to buy-out HKSI. The company is a market leader in both the UK and Spain, has a high quality customer base and tremendous potential. As healthcare costs and quality continue to be high on the public’s agenda, the Company’s information services will be an invaluable resource for all healthcare managers.”

Graham Harries, CEO of Healthcare Knowledge Systems International, commented;

“The healthcare markets in both the UK and Spain represent a significant and increasing proportion of government spend. We have focused on positioning the business within this expanding market and we look forward to working with the Inflexion team to grow the business and capitalise on the changing demands of the healthcare sector.”