By Billy MacInnes
1 August 2008
Northgate Information Solutions has made its first acquisition since
it was bought by private equity firm Kohlberg Kravis Roberts & Co (KKR) in
March and snapped up Anite's public sector and secure information solutions
(SIS) businesses.
The company said the £54.3m acquisition would make it the number one
provider of social care systems and document management services to the public
sector and enhanced its position in providing housing, revenues and benefits
systems to local government.
Northgate Public Services chief executive David Meaden said the
acquisition "demonstrates how and why KKR’s investment approach makes it
an ideal partner for Northgate. We share a common business philosophy for
long-term value creation".
The Anite public sector and SIS businesses have 650 employees and
operate out of five locations, including Hemel Hempstead and Milton Keynes. A
Northgate spokeswoman said it was "too early to say" whether there
would be any changes, but stressed that the business was "very
complementary to the work Northgate Public Services currently does".
Northgate added that Anite's SIS business would help it to provide
"business-focused change programmes and integrated services to the
criminal justice and police markets". The Anite division helped design and
deliver a mobile automatic number plate recognition system to 43 police forces
in England and Wales.
The cash consideration of £54.3m is subject to Anite paying £3.8m
owed to its public sector division, a working capital adjustment following
completion and OFT approval.
