UK private equity firm Inflexion sees 2.7 times return on IASIST exit

The sale completes Inflexion’s exit of HKI with a total return on investment of 2.7 times and follows the February 2009 disposal of the UK division of HKI, to Capita Group.

HKI, a European benchmarking and performance and analysis provider for the healthcare industry, was originally acquired by Inflexion in April 2004 for an enterprise value of £13m (€15.2m).  During the period of Inflexion’s ownership, revenue grew by 200 per cent whilst the number of employees within the company doubled organically.

The sale is the sixth exit from Inflexion’s 2003 fund which included the disposal of Ilchester Cheese and Tekton last year, and leaves four remaining investments within the fund.  Over the past 18 months Inflexion has increased its investment team by 25 per cent and continues to invest its 2006 fund.

John Hartz, managing partner at Inflexion, said, “We are pleased that during the period of our ownership, IASIST has grown from a small base, offering a limited set of products and breaking even to becoming the principal supplier of a co-ordinated suite of services to the healthcare organisations of Spain and Portugal.  IASIST has more than doubled the number of employees and has recently been working on growth prospects into South America.  It is now in a position to move forward into its next stage of development and we wish the team every success in the future.”

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