Knowsley medtech business targets growth with £3m PE investment

Merseyside-based Med Imaging Healthcare has landed a seven-figure boost from private equity firm Foresight Group.

The £3m investment has allowed the Knowsley medtech business to undergo a partial buy-out and provides the capital to support the firm’s growth plans.

As part of the deal Christopher Langley, who has experience as a CEO and chairman in the health sector, has been appointed as Med Imaging’s non-executive chairman.

The company was founded in 1995 by former Siemens healthcare engineer Tim Dickinson and sells, services, maintains and repairs diagnostic imaging equipment for the NHS, private healthcare and dental markets.

Med Imaging’s managing director, Tim Dickinson, said: “I am delighted to be working alongside Foresight to further develop our offering and increase our position in the marketplace.

“Foresight’s experience in supporting businesses and developing UK SMEs will be invaluable to the future growth of the business.”

Foresight partner James Livingston said: “Med Imaging represents a compelling opportunity to invest in a well-established business, which maintains vital equipment across many NHS trusts.

“The business is able to offer the NHS compelling cost efficiencies when compared to certain competitors and offers a high level of service.”

He continued: “The business is growing well, both in its core market and across new service lines. We look forward to working with Tim and the broader management team in the coming years.”

Matthew Pomroy, investment manager at London-based Foresight, commented: “Tim has built one of the leading independents in the sector and has demonstrated a significant pipeline of opportunity.”

The deal, Matthew added, demonstrates the private equity firm’s “commitment to the North West”.

Ian Riggs, Jon Gillow and Sean Lightfoot of law firm Hill Dickinson provided legal advice on the transaction, while financial due diligence was provided by Neil Robinson of accountancy firm Mazars.

Commercial due diligence, meanwhile, was provided by Lushani Kodituwakku from consultants Neovian Partners. Mike Hicks, from investment banking advisory business Catalysis Partners, provided management due diligence.

Med Imaging Healthcare was advised by Jerry Scriven from MC Vanguard and Kieran Donovan, Catherine Lo and Neil Munford from Bermans.

The company is based at Knowsley Business Park and employs 41 staff, with annual sales of £4.5m. It has a second office near Glasgow.