RCS - IP Group PLC - Intelligent Ultrasound to sell Clinical AI unit

IPAnnouncement

18/07/2024 10:30

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RNS Number : 9475W  IP Group PLC  18 July 2024

 FOR RELEASE ON  18 July 2024

 

 

IP Group plc - Portfolio company Intelligent Ultrasound Group to sell its
Clinical AI business to GE HealthCare for £40.5m

 

IP Group plc (LSE: IPO) ("IP Group" or "the Group"), which invests in
breakthrough science and innovation companies with the potential to create a
better future for all, is delighted to note that portfolio company Intelligent
Ultrasound Group plc ("Intelligent Ultrasound" or "the Company") has entered
into a conditional sale and purchase agreement for the sale of its Clinical AI
business to GE HealthCare for an enterprise value of £40.5m.

The proposed transaction values the Company's Clinical AI Business at 33.8
times full year 2023 revenues, a premium of 70.9% to Intelligent Ultrasound's
closing share price yesterday. Following the sale, Intelligent Ultrasound will
retain its simulation business, which generated total revenues of £10m in
2023.

In addition, Intelligent Ultrasound announced that its Board intends to make a
material return of capital following a review of the growth potential and
capital requirements of the post-transaction business. IP Group has an
undiluted beneficial holding of 20.8% in Intelligent Ultrasound. In addition,
the Group's EIS fund management business, Parkwalk, holds 11.0% of Intelligent
Ultrasound.

Intelligent Ultrasound expects to make an announcement detailing the proposed
use of funds and future strategic direction for the post-transaction business
by the time of completion, which, dependent on the timing of the Regulatory
Consents, is expected to be in September/October this year.

The transaction is subject to shareholder approval under AIM Rule 15, as well
as confirmations from the Competition and Markets Authority under the
Enterprise Act, and the Investment Security Unit under the National Security
and Investment Act, that they do not oppose the transaction.

For more information, please contact:

 

 IP Group plc                       www.ipgroupplc.com
 Liz Vaughan-Adams, Communications  +44 (0) 20 7444 0062/+44 (0) 7967 312125
 Portland
 Alex Donaldson                     +44 (0) 7516 729702

 

Notes for editors

 

About IP Group

 

IP Group accelerates the impact of science for a better
future. As the most active UK based, early stage science investor, we
develop and support some of the world's most exciting businesses in
deeptech, life sciences and cleantech (led by Kiko Ventures). Through
Parkwalk, the UK's largest growth EIS fund manager, we also back
world-changing innovation emerging in leading universities and research
institutions. Our specialist investment team combines sector expertise with
an international approach. Together we have a strong track record of success,
having backed high-profile companies including Oxford Nanopore Technologies
plc, First Light Fusion, Hysata, and Oxa. IP Group is listed on the Main
Market of the London Stock Exchange under the code IPO. For more information,
please visit our website at www.ipgroupplc.com (http://www.ipgroupplc.com/) .

 

ENDS

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