Press Releases

Picis Signs Financing Deal with Goldman Sachs

Portion of proceeds to fund Picis acquisition of LYNX Medical Systems

WAKEFIELD, Mass. — July 24, 2007 —  Picis, the leading global provider of software that automates the high-acuity areas of hospitals, announced today that it has signed an agreement with Goldman, Sachs & Co. for a private placement comprised of convertible preferred stock and senior debt to assist in funding the acquisition of LYNX Medical Systems. The acquisition was announced separately today.

“When the opportunity to acquire LYNX Medical Systems presented itself, it caused us to reevaluate the timing of our planned initial public offering (IPO). It was most gratifying to have Goldman Sachs provide a sound and strategic alternative financial plan,” said Todd Cozzens, Picis president and CEO. “We are delighted that Goldman Sachs will continue to be our financial advisor and a major investor in Picis. Goldman Sachs clearly brings more to the table than simply their financial investment.”

“The opportunity to invest in Picis is consistent with our long-standing desire to invest in companies with strong growth and earnings potential in healthcare,” said Chris McFadden, managing director, Goldman, Sachs & Co. “This investment underscores our belief that Picis has the strategy to meet this opportunity.”

A portion of the proceeds from the Goldman Sachs financing will be allocated for the acquisition of LYNX Medical Systems and the rest will be deployed to retire existing debt and provide additional working capital. The transaction will be final subject to customary closing conditions and timing.

About Picis
Picis is an established provider of innovative healthcare information technology solutions designed to transform the delivery of patient care information in the high-acuity areas of the hospital, including the emergency department, operating and recovery rooms and intensive care units. Picis offers the most advanced suite of integrated products focused on these life-critical areas of the hospital where the patients are the most vulnerable, the care process is the most complex and an increasing majority of hospital costs are incurred. Headquartered in Wakefield, Massachusetts, Picis has licensed systems for use in more than 1,000 hospitals in 19 countries. More information is available at www.picis.com.

Picis is a registered trademark of Picis, Inc. © 2007 Picis, Inc. All rights reserved. All trademarks mentioned herein are the properties of their respective owners. This press release contains express or implied forward-looking statements relating to, among other things, Picis’ expectations concerning marketing plans, market acceptance of its products, and management’s plans, objectives and strategies. These statements are neither promises nor guarantees, but are subject to a variety of risks and uncertainties, many of which are beyond Picis’ control, which could cause actual results to differ materially from those contemplated in these forward-looking statements. In particular, the risks and uncertainties include, among other things, our ability to convince hospitals to shift from existing methods of collecting clinical data to our automated software solutions; competition; changing customer requirements; market acceptance of our software products; claims that we or our technologies infringe upon the intellectual property or other proprietary rights of a third party and product liability claims relating to our products or services or our customers’ use of our products or services.