System C Healthcare plc, a provider of specialist IT products and services to the healthcare sector, has expanded its operations into a new market.

System C Healthcare plc, a provider of specialist IT products and services to the healthcare sector, has expanded its operations into a new market.

The company will now work with companies and organisations in the private healthcare sector after it bought IQ Systems Services.

The deal could be worth as much as £2.16 million, with £800,000 paid in cash on completion funded from System C’s existing resources.

The terms of the agreement includes a deferred payment capped at £1.36 million. This will be made in the next two years if performance targets are achieved and will be satisfied in cash and shares.

The IQ acquisition not only expands System C’s business into the private healthcare market, it also strengthens its product portfolio.

System C has been providing information systems and services to the healthcare sector since 1983. It develops and supplies patient administration and electronic record systems.

The company has installed healthcare systems in more than 130 NHS Trusts and offers a range of services to local service providers, the NHS and third-party suppliers.

IQ supplies patient management and clinical software for private treatment centres and hospitals. Its clients include private healthcare providers such as Mercury Healthcare, Centres of Clinical Excellence and Nations Healthcare. Last year IQ reported a £900,000 turnover making a pre-tax profit of £150,000.