London, 24 November 2003 - Misys plc, the global software solutions and
services group, today announces the sale of the UK back office products
business from within Misys Asset Management Systems. The business is being
purchased by a management buy-out team backed by Primary Capital, a
prominent private equity firm.
This transaction follows the sale, announced on 3rd November, of certain
equities trading products from within Misys Securities Trading Systems.
Together these transactions represent a decisive move to exit non-core
businesses and to re-focus the Misys Banking Division on larger,
faster-growing sectors within the banking software markets.
In the year to 31st May, 2003, the businesses which have been sold accounted
for a combined turnover of Â£39 million. The total consideration for the two
deals is Â£25 million.
Misys retains a strong position in the asset management systems market
through its award-winning Apollo and Eagleye products. These modern
products address the rapidly-growing market for front- and middle-office
solutions, and will be at the core of the Group's strategy to build
market-leading businesses in both the institutional and private wealth
sectors of the market. Clive Pedder has been appointed the new CEO of Misys
Asset Management Systems, which will continue to exist as a wholly-owned
subsidiary of Misys plc with offices in London, Paris, Luxembourg, Nice and
Birmingham. Clive was most recently President & CEO of MPCT Solutions
Corporation - the ATLAS wholesale banking solutions provider - having led
its successful restructuring and sale on behalf of venture capital
The principal products being sold in the deal announced today - Fiscal and
Quasar - are back-office solutions with leading positions in the UK market.
They are being acquired by Rhyme Systems Ltd, which is a newly formed
company, owned jointly by the management team and by Primary Capital. Chris
Potts, formerly CEO of Misys Asset Management Systems, is now CEO of Rhyme
Systems. Approximately 150 staff will transfer from Misys to the new
company, which will have offices in London, Birmingham and Nantwich.
Chris Potts, CEO, Rhyme Systems commented, "This transaction allows us to
take Rhyme Systems into an exciting new era as an independent group,
building on our achievements to date."
Ivan Martin, CEO of Misys Banking and Securities Division, commented: "Over
the past two years Misys Asset Management Systems has increasingly
concentrated its activities on the front-end of the investment process. Our
strategy is to focus on specific, growth-oriented market sectors, so this is
where the majority of our research and development activity in asset
management has been placed. The transaction announced today, together with
the sale of the securities trading products announced last week, reflect the
action we are taking across the division to implement our growth strategy.
We are delighted that our former colleagues have been able to take this
opportunity, and we wish Rhyme Systems every success."