24th Feb 2005 07:02
Bond International Software PLC24 February 2005 FOR IMMEDIATE RELEASE 24 February 2005 Bond International Software plc ("Bond" or "the Company") Acquisition of Prairie Developments Inc. Bond International Software plc, the specialist provider of software for theinternational recruitment and human resources industries, with operations in theUK, USA and Australia, is pleased to announce the acquisition of a further UScompetitor, Prairie Developments Inc. (PDI) for a total cash consideration of$2.831 million. The initial consideration of $1.696 million is payable on completion with theremaining $1.135 million payable on the first anniversary of completion. PDI, based in Minnesota, was established in 1990 to develop front officesoftware for the permanent and temporary staffing agency markets under the brandname eEmpACT. PDI focuses on small to midsized recruitment companies andcurrently has around 800 customers. Through its back office system, Express, anda partnership agreement with Microsoft, PDI can also provide integrated frontoffice/back office solutions to customers of varying sizes. The unaudited accounts for the year to 31 December 2004 show that PDI achievedturnover of $3.714 million, and had net earnings of $278,000. The accounts to 31December 2004, the nearest date to the deal, show that PDI had net liabilitiesof $469,000. This acquisition follows Bond's successful integration of the EZaccess business,acquired in March 2004, and brings together a number of software providers aseEmpACT itself acquired Allegro software in 2003 and Dataforce in 2004. Thedirectors believe the acquisition of PDI will strengthen Bond's position in thesmall to mid range market. The acquisition will also provide the Company with apresence in the mid west of the USA, extending Bond's geographical and marketcoverage in the US as well as increasing the recurring revenue from the overallcustomer base. Following the deal none of the PDI management will join Bond'sboard and no new service agreements will be entered into outside of thecontracts that already exist in PDI. Steve Russell, Chief Executive of Bond, commented: "We believe this is an excellent acquisition that will provide a number ofbenefits for the group. As well as extending our geographical and marketcoverage, the acquisition of PDI will also expand our presence in the small tomid range market place and allow us to take advantage of an efficient backoffice system. This acquisition demonstrates the continuation of our statedstrategy to bring together complementary businesses that strengthen our alreadystrong market position." Bond International Software Plc: Tel: 01903 707070Steve Russell: Group Chief ExecutiveBruce Morrison: Group Finance DirectorTim Richards: Managing Director Buchanan Communications: Tel: 020 7466 5000Mark EdwardsTom Carroll About Bond International Software Bond (BDI.L), with a 30 year track record, is the world's longest establishedprovider of fully configurable staffing and recruitment software, with over40,000 users in 42 countries with offices in the US, UK, Australia and SouthAfrica. ( www.bondadapt.com ) About Prairie Developments Inc. Through its brand name eEmpACT (www.eempact.com), PDI has enjoyed a strong14-year history of growth in the U.S. staffing industry. The company has over 30employees in its offices in Minneapolis and Atlanta. Customers currentlyinclude eight national accounts and over 800 small and mid-size companies andfranchises throughout the United States. eEmpACT delivers one of the mostinnovative and fully integrated front- and back-office human-capital managementsolution on the market today. It is designed to help temporary staffingservices, direct-hire recruiting companies, consulting firms and corporatehuman-resource departments improve productivity and deliver a higher level ofservice to their customers and employees. Integrated with Microsoft technology,eEmpACT provides a comprehensive order-placement and resume search system alongwith powerful accounting and business management technology and can be used in avariety of networking environments, including Citrix thin-client, TerminalServer, and Windows 200X. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
BDI.L