Liquidlogic specialises in providing software for the social care sector and has over 43,000 users working across social care services and NHS organisations. In the year ending March 2009, Liquidlogic generated revenue of £6.5 million and operating profits of £900,000.

Ian Denley, chief executive of System C, said: ‘Not only does the enlarged group have excellent prospects in the health market and the social care sector, but it is also well positioned to support the government’s drive to provide integrated care.’

In the six months ending November 2008, System C reported an increase in revenues of 24 per cent to £10.4 million and pre-tax profits of £1.9 million.