Gadget repairs business Regenersis has made its first acquisition since April 2013 by snapping up Finnish company Blancco.
The deal has been funded through a placing of new shares worth £100 million, at a discount of 3.6 per cent.
Privately owned Blancco provides data erasure software and has 130 staff. The business has achieved revenue growth of 25 per cent (compound annual rate) between 2008 and 2013.
Regenersis says that data erasure is an ‘attractive market’, with Blancco’s offering complementing its Advanced Solutions business.
It cites new European legislation coming into force during 2015, meaning that some companies will likely have to appoint a data protection officer to keep records of data protection compliance, as a source of new growth.
Matthew Peacock, executive chairman at Regenersis, comments, ‘Blancco is a great business with an excellent fit, and at a price that works for shareholders.
‘Most importantly it moves the centre of gravity of the group clearly into Advanced Solutions, with a majority of profits in this segment, and it opens up a variety of possibilities for future development.’
More on other acquisitions made by Regenersis:
The last acquisition made by Regenersis involved a set top box repair business located in South Africa. Landela Electronics was bought for £1.5 million on a cash-and debt-free basis.
Of the €60 million being paid for Blancco, €58.7 million is being funding through the placing of new shares. The CEO of Blancco will remain with the business, and is receiving an equity share not disposable for the coming 12 months.
