The company has issued a statement confirming it is in discussion with the iSoft Group in London which may lead to an all-share offer to buy the UK group.
IBA Health also confirmed it was in discussion with “certain financial institutions” to obtain funding for such an acquisition. IBA said such funding would refinance the companies existing debt facilities and provide “adequate working capital for the ongoing requirements of the enlarged group.”
Though the company confirmed its interest in pursuing iSoft, no price tag has been attached to any possible transaction, though some analysts have said such a deal would be would about A$500 million.
Though trading at close to its 52-week high, IBA was off slightly on news it was seeking to buy the troubled UK firm. iSoft shares on the London Stock Exchange, which have struggled, bounced almost 10 per cent on confirmation that IBA had begun talks to buy the firm.
IBA Health is the largest health information technology company listed in Australia, with a market capitalisation of more than A$560 million.
The company provides information and communication solutions to connect providers, payers, patients and communities. IBA Health's range of systems is designed to support workflows across all health sectors including hospitals, clinics, aged and community care facilities, primary care as well as claims and payments processes.
For more e-Health news click here.
