11th Sep 2018 13:00
LONDON (Alliance News) - Energy procurement consultant Inspired Energy PLC said Tuesday it has acquired Professional Cost Management Group Ltd for GBP700,000, strengthening the company's cost recovery service.
Professional Cost Management provides a auditing service to identify and recover overpayments of utility and telecom bills on behalf of its clients. For 2017, Professional Cost Management recorded a net loss of GBP190,000 and revenue of GBP2.84 million.
The deal consideration includes an initial cash payment of GBP150,000 and a potential further contingent consideration of up to GBP550,000 upon achievement of certain financial targets by the acquired business.
The initial cash payment has been financed from Inspired Energy's existing cash reserves. The earn out consideration, if payable, is expected to be self-funding from future cash-flows generated by the enlarged company.
The deal is expected to be earnings enhancing in 2020.
Shares in Inspired Energy were down 2.2% at 21.02 pence each on Tuesday.
Related Shares:
Inspired