iSoft snaps up local software developer

By RICHARD PAMATATAU

Auckland software developer i-Health has been bought by British giant iSoft for an undisclosed sum.

The deal also involves iSoft acquiring i-Health's sister company, Galen Group.

i-Health creates software for the web-based management of healthcare records that will be used to develop a birth-to-death record for patients, combining hospital records with those of GPs, specialists and community caregivers.

Other New Zealand software developers such as Orion Systems and Software of Excellence also compete in the global healthcare market.

Brian Allen, an i-Health director, said the company's software development would be retained in Auckland, along with the jobs of its 40 staff.

"It is exciting for the staff and customers of i-Health as it allows them to become part of a larger organisation with a significant presence in healthcare information technology.

"Users will substantially benefit from the additional development resources and integration between clinical products," he said.

Discussions over the sale had been taking place since October and the cash deal included a subsequent performance bonus.

Allen said iSoft was the fifth-largest IT company in Europe and had more than 60 per cent of the healthcare IT market in Britain, Europe and Australia.

Under the British Government's healthcare IT project, iSoft is a preferred supplier to three regions under contracts worth billions of dollars.