Hesta invests $120 million in Citadel Group

Australian industry superannunation fund for health workers Hesta invests a $120 million equity stake in IT service management company Citadel Group, which recently acquired Genie Solutions.

Hesta, Genie’s investor since 2017 through IFM Private Equity, reinvested its shares when Genie was purchased by Citadel Group. Hesta says this maintained its exposure to a fast-growing business and to the digital healthcare sector more broadly.

“Hesta’s deep relationships across the fast-growing healthcare sector gives us a unique investment perspective that’s helping to deliver outstanding investment performance for our members,” Hesta chief information officer Sonya Sawtell-Rickson says.

“Investments like this are helping improve our members’ experience at work, while also supporting digital innovation in their sector,” Sawtell-Rickson adds.

“We welcome the investment of Hesta as a well-informed partner, particularly given its history with Genie. The combined business is the leading software provider for medical specialists, diagnostic testing, and medical treatment. We are very confident that the combination of the two businesses will bring great benefits, namely better diagnosis and patient care,” Citadel Group CEO Mark McConnell says.

“We’re focused on investing in innovative companies that are developing the technologies and growth industries of the future that’s also contributing to strong long-term returns for members,” Sawtell-Rickson adds.

“Our members are helping commercialise life-saving medical breakthroughs, developing cutting-edge clean tech to tackle climate change and future-proofing the sectors in which they work by supporting digital innovation,” she concludes.