The Kempen European Private Equity Fund, the private equity investment fund of Kempen Capital Management (Kempen), has acquired a direct interest in the new entity that will be created as a result of the merger between software companies Medisys and Cityzen.
The merger will form a major software supplier in France for the development of specialised software for the healthcare industry.
The new entity that will be created as a result of the merger between Medisys and Cityzen will be a frontrunner in France in the field of healthcare ERP software, with a combined history spanning three decades. The company will serve close to 11,000 clients, with a focus on both the public and the private care market. The group employs approximately 450 full-time employees, over 90 of whom are software specialists, divided over 17 locations across France. The combined turnover amounted to approximately EUR45 million in 2020.
Sven Smeets, Managing Director and Bram Bikker, Director, at Kempen Private Markets, says: “The new company is a merger between two cutting-edge French software companies: Medisys and Cityzen. Integrating these two companies will result in the market leader in France in the field of software for the healthcare industry. Both companies will profit from the combined expertise, experience, and innovations, leading to enhanced synergy, better service, and higher-quality software solutions for the benefit of their customers.”
“The solutions of the newly created company will improve the efficiency and effectiveness of doctors, nurses, and other healthcare professionals, benefiting the care of the elderly and the sick. We have great trust in the management team, who will continue to build on the success of this company. We are excited about this latest investment of our private equity fund.”
The participation of the Kempen European Private Equity Fund is a co-investment with investment company Activa Capital and the original founders. In addition, the management team of the new entity has co-invested in this deal with their own resources. As a result, the interests of the various investors are equally oriented.
Alexandre Masson and Christophe Parier, Managing Partners of Activa Capital, add: “The management teams of Medisys and Cityzen initiated the first talks and negotiations about twelve months ago, which has resulted in this significant merger between two high quality companies. This new company will drive an acceleration in innovation in medical social software, both in the public and the private sectors.”
The announcement marks the third participation of the fund in 2021 after the earlier acquisitions of interests in the British software company Eque2 and the French company GSRI, which provides inspection and advisory services for infrastructure management. This deal is the ninth direct private equity participation of the Kempen European Private Equity Fund and the third deal of the fund in France.
