Business
Acquisition of Retearn Group Limited
Acquisition of Retearn Group Limited.
About this update from Elixirr International Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 0555V\n Elixirr International PLC\n 12 April 2021\n \n \n \n \n ELIXIRR INTERNATIONAL PLC\n \n \n (\"Elixirr\", the \"Company\" or the \"Group\")\n \n \n Acquisition of Retearn Group Limited\n \n \n Elixirr International plc (AIM:ELIX), an established, global award-winning challenger consultancy, is pleased to announce the acquisition of the entire issued share capital of procurement and transformation firm, The Retearn Group Limited (\"Retearn\"), for a maximum total consideration payable of approximately £7.0 million plus an additional cash payment based on working capital at completion (the \"Acquisition\").\n \n \n \n \n \n Highlights\n \n \n \n \n \n \n · \n Retearn is a UK-based procurement, transformation and insights consultancy with 35 full-time employees and a broad specialist associate network\n \n \n · \n In the year ended 30 June 2020, Retearn recorded revenue of £5.65 million and profit before tax of £0.92 million\n \n \n · \n The Acquisition brings specialists in self-funded transformation, and allows Elixirr to meet demand from clients to find savings to fund strategic initiatives\n \n \n · \n Demand for cost management and transformation is expected to increase in the next year. In a recent survey by Deloitte, 66% of executives reported that they are likely to pursue cost reduction strategies over the next 12 months, and a further 75% of Fortune 500 companies believe that COVID-19 will accelerate their technological transformation (Fortune Magazine Survey)\n \n \n · \n Retearn has an outstanding reputation in the market - its clients rated it 51% higher than the competition and it has been added to the FT's list of the UK's Leading Management Consultants for 2021 \n \n \n · \n Elixirr's second acquisition since IPO in July 2020 and fully in line with our 'House of Brands' strategy\n \n \n · \n Immediately earnings enhancing\n \n \n \n \n \n \n Consideration for the Acquisition\n \n \n \n \n \n The maximum total consideration payable is £7.0 million. This consists of initial cash consideration of £2.15 million, a proposed issue of 543,939 ordinary shares of 0.005 pence each in the capital of the Company (\"Ordinary Shares\") at a price of 396 pence per Ordinary Share (being the closing mid-market price of an Ordinary Share on 8 April 2021) equating to an addi...