Craneware plc
("Craneware", "the Group" or the "Company")
Appointment of Non-executive Director
and Acquisition
Craneware increases breadth of Healthcare experience and product portfolio through appointment of new Non-executive Director and acquisition of Kestros Limited
28 August 2014 - Craneware (AIM: CRW.L), the market leader in automated revenue integrity solutions for the US healthcare market, is pleased to announce the appointment of Russ Rudish to the Board as Non-executive Director, and the acquisition of Kestros Limited ("Kestros").
Non-executive Director Appointment
Russ Rudish has more than 30 years' experience in serving the Healthcare industry, both in the United States and internationally. His most recent role was Global Sector Leader for Healthcare at Deloitte Touche Tohmatsu, where he led the $2 billion global consulting, audit, tax and financial advisory business, developing the firm's Global health care strategy. He joined Deloitte in 2006 from Eclipsys Corp., which was acquired by Allscripts in 2010. Russ joins the Craneware board with immediate effect. He is an active speaker and contributor to thought leadership on today's most pressing Healthcare business issues.
Acquisition of Kestros Limited
As part of its commitment to expanding the use of innovative technology in Healthcare, Craneware has acquired the assets and intellectual property of an emerging Scottish technology company, Kestros Limited for a maximum consideration of £1.25 million. The acquisition will provide Craneware with a technology platform in the high growth Patient Access market, addressing the growing level of consumerisation within Healthcare.
Kestros has established early market entry into the growing area of mobile technology and patient connectivity within the Healthcare industry. Through the acquisition, Craneware will provide the funding for further development of the technology from its current use in a select number of NHS Trusts to broader use in the Healthcare market, integrating with Craneware's existing Medical Necessity technology within its Patient Access product family.
Craneware will acquire Kestros and all related assets for a maximum of £1,250,000 which will be adjusted according to revenue milestones. £150,000 of the consideration will be paid in cash with the remainder paid in new Craneware equity.
Keith Neilson, CEO of Craneware,commented, "Craneware is committed to driving innovation within the Healthcare industry, enabling our customers to reduce administrative costs while increasing levels of patient care. We are delighted to welcome Russ Rudish and the Kestros team into Craneware. Russ brings over 30 years' experience within the US Healthcare industry, most recently developing Deloitte's Global healthcare strategy and brings huge insight in the developments currently taking place in this market. We are delighted to be able to benefit from this experience and knowledge in taking the Company forward.
"We believe Kestros, with its highly innovative and sophisticated mobile application, which is currently in use in the NHS, has significant potential for expansion. The governments in both the US and the UK are pushing for greater IT links between patients and healthcare providers, meaning both markets are highly receptive to innovative technologies such as Kestros'. This investment will strengthen our Patient Access product family and importantly will give us the platform for our first Gateway product in this area."
Russ Rudish, Non-Executive Director, Craneware, commented, "The area of revenue integrity is growing in strategic importance to the management teams of healthcare providers in the US, as they seek to set in place the processes to deal with ever increase regulatory and fiscal pressures and ensure they have the financial strength to continue to deliver quality healthcare services to their patients. Craneware is positioned right at the heart of this growing area of focus within the US healthcare industry and I am delighted to join the Board and be able to advise Keith and the team on the strategic progression of Craneware."
Russ Joel Rudish, (aged 62), currently holds a directorship in Rudish Health Solutions LLC. He previously held a partnership in Deloitte LLC, from 2006 - 2014. He does not currently hold, nor has held during the last five years immediately preceding the date of this announcement, any further directorships or partnerships. There are no other matters which are required to be announced under paragraph (g) of Schedule 2 of the AIM Rules.
For further information, please contact:
Craneware plc |
Peel Hunt |
Newgate Threadneedle |
+44 (0)131 550 3100 |
+44 (0)20 7418 8900 |
+44 (0)20 7653 9850 |
Keith Neilson, CEO |
Dan Webster |
Caroline Forde |
Craig Preston, CFO |
Richard Kauffer |
Fiona Conroy |
|
|
Heather Armstrong |
About Craneware
Founded in 1999, Craneware has headquarters in Edinburgh, Scotland with offices in Atlanta, Arizona, Massachusetts and Tennessee employing over 200 staff. Craneware is the leader in automated revenue integrity solutions that improve financial performance for healthcare organisations. Craneware's market-driven, SaaS solutions help hospitals and other healthcare providers more effectively price, charge, code and retain earned revenue for patient care services and supplies. This optimises reimbursement, increases operational efficiency and minimises compliance risk. By partnering with Craneware, clients achieve the visibility required to identify, address and prevent revenue leakage. To learn more, visit craneware.com.
