Software and outsourcing business Northgate Information Solutions yesterday sold its public services division to Cinven, a top European private equity firm.
David Meaden, chief executive of Northgate Public Services – which was owned by KKR – said Cinven’s acquisition of the division was “a huge vote of confidence in the strength of our business and our people”.
Cinven invests in business services, consumer, financial services, healthcare, industrials and technology, and media and telecommunications.
Meaden said: “For many years, we’ve worked hand-in- hand with local authorities, police forces, health and housing providers, as well as government departments, to help them keep communities safe and thriving. Public finances are under pressure all over the world and we have unique expertise in helping organisations to meet this challenge.
“We now have the power and the opportunity to help even more organisations to transform the service they provide to the public and get ready for the challenges to come.”
Northgate Public Services is headquartered in Hemel Hempstead, Hertfordshire. It employs more than 1,500 people in the UK across 10 offices and more than 750 people internationally including in its software development centre in Mumbai.
David Barker, partner at Cinven, said: “Northgate Public Services has a strong client base and great potential for growth. Its people have delivered great results for clients at a time when budgets are shrinking, but demand for public services is growing.”