IBM to acquire Initiate Systems

BANGALORE, INDIA: IT Major IBM today announced it has signed a definitive agreement to acquire Initiate Systems, a provider of data integrity software for information sharing among healthcare and government organizations.

Initiate’s software helps healthcare clients work more intelligently and efficiently with timely access to patient and clinical data. It also enables governments to share information across multiple agencies to better serve citizens.

Initiate Systems is a privately held company based in Chicago and the acquisition marks IBM's 30th buy to advance its capabilities in information and analytics.

“With the addition of Initiate’s software and its industry expertise, IBM will offer clients a comprehensive solution for delivering the information they need to improve the well-being of patients at a lower cost,” said Arvind Krishna, general manager, Information Management, IBM.

He added that similarly, their government clients would now have even more capabilities for gathering and making use of information to serve citizens in a timely and efficient manner.

“Our clients will be the ones who benefit most from this acquisition,” said Bill Conroy, president and chief executive officer, Initiate Systems. “They will continue to get the software and expertise they depend on, plus the incalculable advantage they will gain through IBM’s global reach and its capabilities in enterprise software, hardware and services.”

The transaction is subject to customary closing conditions and regulatory clearance and is expected to close in the first quarter of 2010. IBM intends to integrate the Initiate organization with its Information Management business after the closing.