Empresaria Group PLC
07 November 2007
7 November 2007
Empresaria Group plc
Acquisition in Chile
Empresaria Group plc ("Empresaria" or the "Group"), the AIM-quoted international
staffing and recruitment specialist, is pleased to announce its first move into
the South American market.
The Group has agreed to acquire 56% of the share capital of Marketing y
Promociones Limitada ("Alternattiva") operating under the brand name
Alternattiva, a company based in Santiago, Chile and specialising in the
provision of outsourced sales and marketing staff. Initial consideration payable
will amount to approximately £1m, with a further maximum of approximately £1m
payable depending on financial performance in 2008. The consideration is payable
in cash. The remaining 44% of the share capital of Alternattiva will continue to
be held by the Alternattiva management team.
The acquisition is conditional on completion of legal restructuring of
Alternattiva's operations and the Group obtaining acceptable bank funding.
Completion is anticipated before the end of 2007.
In the 2007 calendar year, Alternattiva is expected to generate a profit before
tax of approximately CLP307 million (Chilean Pesos) on net fee income of
approximately CLP1,572 million (representing approximately £293,000 and £1.5
million respectively, at current exchange rates). The net assets of Alternattiva
as at 31 August 2007 were approximately CLP 3.4 billion (representing
approximately £3.25 million). The Directors of Empresaria expect the acquisition
to be earnings neutral in the first full year following acquisition and modestly
earnings enhancing thereafter.
Commenting on the acquisition, Miles Hunt, Chief Executive of Empresaria said:
"The acquisition of Alternattiva is a continuation of our international
expansion programme and represents the first step towards our stated goal of
expanding into the South American market. Alternattiva is well positioned in the
Chilean staffing market and, with the combination of management's local
expertise and Empresaria's support, offers significant opportunities for further
For further enquiries please contact:
Empresaria 01293 649 900
Miles Hunt, Chief Executive
Nick Hall-Palmer, Finance Director
First City 020 7242 2666
Smith & Williamson Corporate Finance Limited 020 7131 4000
Azhic Basirov / Siobhan Sergeant
Notes for editors:
Empresaria Group plc (sector Support Services, staffing) provides specialist
staffing services across seventeen countries through 40 trading subsidiaries.
Empresaria was formed in 1996 by Miles Hunt and its business model is based on
the philosophy of management equity which 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.
This information is provided by RNS
The company news service from the London Stock Exchange