Business
Acquisition of Future Build Recruitment
Acquisition of Future Build Recruitment.
About this update from Hercules Plc
[{"type":"text","content":"\n\n \n \n30 November 2023\n \nHercules Site Services plc\n \n(\"Hercules\" or the \"Company\")\nAcquisition of Future Build Recruitment\n \nHercules Site Services plc (AIM: HERC), a leading technology enabled labour supply company for the UK infrastructure sector, is pleased to announce that it has acquired 60% of Future Build Recruitment Ltd (\"Future Build\"), a specialist UK-based white-collar recruitment company operating in the UK construction sector, for a total consideration of £1,251,000 (the \"Acquisition\").\nThe transaction represents a significant milestone for the Company as the first acquisition in Hercules' history, which will see Future Build integrating into Hercules' Labour Supply division and providing the Company with exposure to the white-collar recruitment market.\nAcquisition Highlights\n· The transaction will expand Hercules' exposure to the white-collar and permanent recruitment market within the construction industry, which consists of around 2.1 million workers or 6% of the total UK workforce.\n· Brighton-based Future Build provides the Company with an established presence in the Southeast of England, a region with good growth prospects for the infrastructure and construction sectors. Future Build focusses on permanent recruitment for main contractors, house building, high-end residential, social housing and specialist sub-contractor sectors. Future Build currently has 14 employees, with plans to expand the workforce to 16 in January 2024.\n· With minimal overlap between clients, the Acquisition will enhance the service offering to the Company's existing blue chip customer base, while Hercules' current offering will provide complementary services to Future Build clients.\n· Hercules' management team expects synergies of the Acquisition to include cross-selling across white and blue-collar recruitment, the sharing of digital recruitment tools and a stronger focus on permanent placement recruitment.\n· The consideration comprises £1,001,000 in cash and the issue of 994,431 shares (the \"Consideration Shares\") at a price of 25.14 pence per share, representing the 10 day volume weighted average price ending 28 November. The cash element is financed through the Company's existing cash resourc...