The Sage Group has reached a definitive agreement to sell Sage Software Healthcare, its subsidiary offering practice management and EHR technologies to U.S. physician practices, to Vista Equity Partners for cash proceeds totaling £205 million ($320 million U.S.).
Sage Healthcare’s reported revenue for the half year ended 31 March 31 was £72 million ($110.85 million U.S.) with EBITA of £10 million ($15.4 million U.S.).
“The sale of Sage Healthcare allows management in the North American region to focus on the considerable opportunities that exist within our core U.S. customer base," said Guy Berruyer, CEO of Sage Group. "We are also announcing a share buyback program with the proceeds of the sale.” In fact, the Sage Group said it intends to return all of these proceeds to shareholders through a share buyback program.
The sale is expected to complete in November, according to the Newcastle upon Tyne, England-based Sage Group.