RE: UK Support Locations
01 November 2017 - 9:59PM
UK Regulatory
Dow Jones received a payment from EQS/DGAP to publish this press
release.
SThree (STHR)
RE: UK Support Locations
01-Nov-2017 / 10:56 GMT/BST
Dissemination of a Regulatory Announcement that contains inside information
according to REGULATION (EU) No 596/2014 (MAR), transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
1 November 2017 For immediate release
SThree plc
("SThree" or the "Group")
Proposed Relocation of UK Support Functions
SThree, the international specialist STEM staffing business, announces that,
following a review of its UK-based global support structure, it is
commencing a consultation with employees on the proposed relocation of
support functions away from its London headquarters to a new facility
located within another UK city.
The initiative will develop a more sustainable support function that will
enable the Group to deliver higher growth, become more competitive and
improve shareholder returns.
An exceptional charge of circa GBP13m will be booked in the financial year
ending 30 November 2017. The Group estimates the cash cost of the move would
be circa GBP12m in the financial year ending 30 November 2018, with annualised
cost savings of circa GBP4-5m. The relocation programme is expected to
complete during the fourth quarter of 2018, with cost savings in FY2018
expected to be circa GBP1m, with the full benefit expected from 2019.
Gary Elden, Chief Executive Officer, said: "SThree has grown and changed
significantly over the last decade, with the scope of our business shifting
from a primary focus on permanent candidates to managing ongoing
relationships with close to 10,000 contractors globally. Moving our support
functions to a new location within another UK city would enable us to
provide the same quality of support to the business while generating
significant cost savings. This more sustainable cost structure will be
crucial if we are to continue to grow for the benefit of our people, our
customers and our shareholders."
- Ends -
Enquiries:
SThree plc 020 7268 6000
Gary Elden, CEO
Alex Smith, CFO
Sarah Anderson, Deputy Company Secretary/IR
Enquiries
Citigate Dewe Rogerson 020 7638 9571
Kevin Smith/Jos Bieneman
Notes to editors
SThree is a leading international specialist staffing business, providing
permanent and contract specialist staff to a diverse client base of over
7,000 clients. From its well-established position as a major player in the
Information and Communication Technology ('ICT') sector the Group has
broadened the base of its operations to include businesses serving the
Banking & Finance, Energy, Engineering and Life Sciences sectors.
Since launching its original business, Computer Futures, in 1986, the Group
has adopted a multi-brand strategy, establishing new operations to address
growth opportunities. SThree brands include Computer Futures, Huxley
Associates, Progressive and The Real Staffing Group. The Group has circa
2,700 employees in sixteen countries.
SThree plc is quoted on the Official List of the UK Listing Authority under
the ticker symbol STHR and also has a US level one ADR facility, symbol
SERTY.
Important notice
Certain statements in this announcement are forward looking statements. By
their nature, forward looking statements involve a number of risks,
uncertainties or assumptions that could cause actual results or events to
differ materially from those expressed or implied by those statements.
Forward looking statements regarding past trends or activities should not be
taken as representation that such trends or activities will continue in the
future. Certain data from the announcement is sourced from unaudited
internal management information. Accordingly, undue reliance should not be
placed on forward looking statements.
ISIN: GB00B0KM9T71
Category Code: MSCL
TIDM: STHR
LEI Code: 2138003NEBX5VRP3EX50
Sequence No.: 4797
End of Announcement EQS News Service
624123 01-Nov-2017
(END) Dow Jones Newswires
November 01, 2017 06:59 ET (10:59 GMT)
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