Menlo Park, CA and Boston, MA — June 20, 2006 — Accel-KKR, a technology-focused private equity investment firm, today announced its acquisition of a majority equity stake in IntrinsiQ, the national leader in medical oncology care software and the only source for automated longitudinal data on trends in cancer drug usage. Financial terms of the transaction were not disclosed.
Through its IntrinsiQ Research and IntrinsiQ Financial businesses, IntrinsiQ, originally founded in 1996 and headquartered in Boston, Massachusetts, is the leading provider of oncology market data and business analytics to the pharmaceutical/biotechnology industries, as well as financial institutions. The company’s major clients include, among others, BMS, Genentech, Pfizer, and Sanofi-Aventis.
The company also provides proprietary medical oncology care software, sold under its market- leading IntelliDoseTM brand, which manages the clinical care practice of oncology from the assignment of therapy, to the calculation of chemotherapy doses, to the documentation of care. The company currently has physician clients across 36 states — including in some of the most prestigious cancer centers in the country — and maintains records for more than 13,000 patients and 115,000 oncology-related drug administrations per month.
Brent Clough, CEO of IntrinsiQ, said, “Accel-KKR’s investment in our enterprise is a reflection of our tremendous progress, as well as the significant growth prospects of all of our company’s business lines. Accel-KKR’s track record as the preferred partner of management teams of closely-held businesses in the technology sector made the firm the logical choice for us when we determined that we had reached an appropriate point in our development to seek a financial and strategic partner.”
Tom Barnds, Managing Director of Accel-KKR, said, “We are delighted with this transaction, which represents our first investment in the healthcare technology arena, and bears all of the hallmarks of an outstanding platform on which to build an even larger and more profitable business. The high natural barriers to entry in this industry further reinforce the company’s leadership position in what is a highly fragmented market. Equally important, the company has a talented management team and employee base, as well as a robust pipeline of additional offerings and product enhancements, the roll out of which we intend to accelerate in the coming months and years.”
Rob Palumbo, Managing Director of Accel-KKR, added, “We are also delighted to undertake, once more, a recapitalization of a founder-owned business. This acquisition marks our fourth such transaction, and our third in the past eleven months alone. We take great pride in the leadership position we have achieved in this space, and we will continue to aggressively pursue other such transactions going forward.” Accel-KKR Acquires Majority Stake In IntrinsiQ
Under the terms of the transaction, Tom Barnds, Ben Bisconti, Rob Palumbo, and Jason Michael Klein from Accel-KKR, and Brent Clough and Dr. Howard Silverman, M.D., the company’s founder, Chief Technology Officer and former controlling equity holder, will join the Board of Directors of IntrinsiQ, effective immediately.
Accel-KKR is a technology-focused private equity firm that invests primarily in technology businesses with $15 million to $150 million in revenue that are well positioned for top-line and bottom-line growth. At the core of Accel-KKR’s investment strategy is a commitment to developing strong partnerships with the management teams of its portfolio companies and a focus on building value through the contribution of unique financial, strategic, technical, and operational resources. Accel-KKR has a particular focus on the following transactions: Recapitalizations of family-owned or closely-held private companies, divisional buyouts of larger companies, and going-private transactions. For more information, please visit www.accel- kkr.com.
IntrinsiQ is the premier source for US oncology data and analysis. IntrinsiQ’s market leading software application, IntelliDoseTM, captures the treatment decisions and details of over 13,000 patients a month, creating an unrivaled database of accurate, detailed and timely information about the medical oncology care process. This database is the foundation of products and services that are designed to uniquely address the business issues and decisions to the pharmaceutical product manager, market researcher and financial analyst. For more information, please visit www.intrinsiq.com.
Joseph Kuo
Kekst and Company
212-521-4800