CompuGroup backs down from iSOFT acquisition bid

Germany’s CompuGroup Holding AG announced that the company, acting through its wholly-owned subsidiary CompuGroup UK Limited, will not increase its cash offer, announced on July 20 of 66 pence per share for iSOFT Group plc except that CompuGroup reserves the right to increase the offer only if a third party (other than IBA Health Limited or any of its group companies) announces a competing offer for iSOFT.

“iSOFT would have been an excellent complement to our international business activities, but CompuGroup does not intend to enter into a contest that would lead to prices and risks that are unreasonable. This would not create value for our shareholders”, said Frank Gotthardt, Chairman of the Management Board of CompuGroup.

“ CompuGroup will continue to pursue actively its strategy of opening up attractive new national markets by acquiring well-established software providers with strong customer bases and brands. Our company’s unique reach with those providing services in the healthcare industry is the basis for our innovative products and services. All parties involved benefit from this through greater online connectivity and a rapid establishment of important IT-supported Decision Support Systems. The double strategy of acquisition-powered and organic growth is the key to our success.”