Empresaria Group PLC
12 December 2005
Empresaria Group plc
Acquisition of Monroe Consulting Group Pty Ltd (Australia) and Monroe Consulting
Group KK (Japan)
Empresaria Group plc ('Empresaria' or 'the Group') is pleased to announce that
on Friday 9th December it completed an investment of AUS$1.8m (£775k) in two
connected businesses, Monroe Consulting Group Pty Ltd ('MCG') and Monroe
Consulting Group KK ('MCG KK'), acquiring a 60% shareholding in each company
through the issue of new shares. The existing management team retains the
remaining shareholding.
This transaction continues the expansion of Empresaria's international
operations. It extends the Group's representation into three new countries,
Australia, Thailand and Indonesia, as well as strengthening the Group's existing
presence in Japan.
MCG is based in Sydney, Australia and supplies IT, call centre, sales and
marketing and accountancy and finance staff on both a temporary and permanent
basis. The company also has operations in Thailand and Indonesia operating
under joint venture arrangements and focusing primarily on the supply of call
centre staff. MCG KK is a recent stand alone start up investment in Japan
focussing currently on the provision of temporary staff to the Japanese call
centre industry. MCG has 34 staff based in Sydney, 12 in Thailand and 9 in
Indonesia. MCG KK operates with 7 staff in Tokyo. MCG and MCG KK generated
cumulative revenue of AUS$ 10.75 (£4.3m) in the year ending 30 June 2005 up from
AUS$7.3m (£3m) in the previous year.
An initial cash investment of AUS$1.8m is being made with AUS$1.2m being
invested through the issue of new shares across both MCG and MCG KK and AUS$600k
being provided by way of a loan. Of this sum AUS$750k will remain in the
companies with the balance being used to repay outstanding loans. As part of
the transaction Empresaria has also agreed to pay a further deferred cash sum of
AUS$250k during the first quarter of 2006 which will further strengthen the
balance sheets of each company and enable the management team to implement and
finance growth plans in each of the markets in which it operates. Empresaria's
investment is being made out of existing cash resources.
Commenting on the acquisition, Miles Hunt, Chief Executive of Empresaria said:
'Monroe Consulting Group has an established operation and recognised brand in
Australia and a management team who have demonstrated the ambition to expand
into the emerging staffing markets of the Far East. The investment of working
capital and access to development capital resulting from this transaction will
better enable the Monroe management team to fulfil their growth ambitions. For
Empresaria, this transaction represents further access to growing international
staffing markets and marks another step in the path towards developing a
balanced spread of international staffing operations. It also further
demonstrates that the management equity philosophy and model, used successfully
in the UK, has equal application in markets outside the UK. We are delighted
that MCG and MCG KK are joining the Group.'
For further enquiries please contact:
Empresaria Group Plc 01293 649 900
Tony Martin (Chairman)
Miles Hunt (Chief Executive)
Nick Hall-Palmer (Finance Director)
Bridgewell Securities Limited 020 7003 3000
Nick Tulloch
Notes for editors:
Empresaria Group plc is a diversified recruitment group built on a philosophy of
management equity through organic growth, investment in start-up businesses and
providing funding for management buy outs within the staffing sector.
Empresaria was formed in 1996 by Miles Hunt and consists of 21 staffing
companies. Its business model allows founder managers and key staff within
Empresaria's subsidiaries to acquire or retain a meaningful stake in the
businesses they run or work in.
Empresaria currently provides specialist recruitment services across five
sectors in the UK; namely:
1. Construction, Property Services & Engineering;
2. Supply Chain;
3. Public Sector;
4. Financial Services; and
5. Specialist Brands.
In addition, Empresaria is actively expanding internationally and has already
established operations in the US, China and Japan.
This information is provided by RNS
The company news service from the London Stock Exchange
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