Empresaria Group PLC Acquisition of non-controlling interest (4294E)
04 July 2019 - 4:00PM
UK Regulatory
TIDMEMR
RNS Number : 4294E
Empresaria Group PLC
04 July 2019
4 July 2019
Empresaria Group plc ("Empresaria" or the "Group")
Acquisition of non-controlling interest and related party
transaction
Empresaria, the international specialist staffing group, is
pleased to announce the cash acquisition of a further 17.5%
interest in a subsidiary, ConSol Partners (Holdings) Limited
("ConSol"), taking its total investment to 82.5%. Empresaria has a
long-term policy of purchasing non-controlling interests where it
sees real value for shareholders and each acquisition is assessed
on performance.
The shares have been acquired from management shareholders,
including Graeme Hubert and Marc Cohen who are directors of ConSol,
for total consideration of GBP3.5m on terms in line with the
original acquisition in 2016. The funds will be provided from the
Group's existing bank facilities.
ConSol is a specialist recruitment business in the IT sector
with a focus on niche sectors across communications, cloud and
digital. With offices in London, Los Angeles and, from April 2019,
Austin, Texas, they work with clients across the world and have
placed clients in more than 55 countries.
ConSol has performed well since joining the Group and delivered
on our expectations. This investment reflects the Group's
commitment to its core sectors where it sees high growth
potential.
Related party transaction
The acquisition of non-controlling interests from Graeme Hubert
and Marc Cohen, directors of ConSol, are considered related-party
transactions for the purposes of Rule 13 of the AIM Rules for
Companies. The directors consider, having consulted with Arden
Partners, the Company's nominated adviser, that the terms of the
non-controlling interest acquisition are fair and reasonable in so
far as Empresaria's shareholders are concerned.
ConSol contributed GBP2.3m to the adjusted profit before tax of
Empresaria in 2018 and the acquisition is expected to be earnings
accretive in the current year.
Rhona Driggs, Chief Executive Officer of Empresaria,
commented:
"ConSol has performed strongly since joining the Group in 2016.
Operating in one of our core sectors, we see great potential for
this business and as such we have continued to invest in the
business post acquisition; launching a sub-brand, 4ward Talent,
opening a new office in Austin, Texas and now acquiring an
increased stake in the business in line with our long-term
policy."
Enquiries:
Empresaria Group plc via Alma
Rhona Driggs, Chief Executive Officer
Tim Anderson, Chief Financial Officer
Arden Partners (Nominated Adviser and Broker)
John Llewellyn-Lloyd / Ciaran Walsh 020 7614 5900
Alma PR (Financial PR) 020 3405 0205
Rebecca Sanders-Hewett empresaria@almapr.com
Sam Modlin
Hilary Buchanan
Notes for editors:
-- Empresaria Group plc is an international specialist staffing
group with 20 brands operating in 21 countries across the globe
including the UK, Germany, Japan, India, UAE, Indonesia, Chile,
Australia, Thailand, Singapore, Finland, USA, New Zealand, China,
Malaysia, Vietnam, the Philippines and Peru.
-- Empresaria offers temporary/contract and permanent staffing
solutions as well as Offshore Recruitment Services in seven key
sectors: Technical & Industrial, Aviation services, IT &
Design, Professional services, Healthcare, Executive search and
Retail.
-- Empresaria applies a multi brand, management equity
philosophy and business model, with group company management teams
holding significant equity in their own business.
-- Empresaria is listed on AIM under ticker EMR. For more information: empresaria.com
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END
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