Intelect, which recruits primarily for the software sector, received £3.55 million cash and £170,000 in shares. A deferred payment of £500,000 is due in March next year, and an additional £400,000 could be paid over the following two years if certain financial targets are achieved.
Under the terms of the agreement, Intelect’s managing director, David Di Domenico, has joined InterQuest’s board.
This is InterQuest’s second acquisition in the North of England after the group bought PeopleCo Worldwide in March last year. Another recent acquisition is Kent-based Sand Resources, in June last year.
InterQuest is based in the City but has branches throughout the UK. It provides contract and permanent IT recruitment through five divisions: Genesis, Insight, InterQuest (UK), SBS and ITmail. Last year the group made a gross profit of £9 million from a turnover of £57.2 million.
In the year to April 2007, Intelect reported turnover of £6.8 million with audited pre-tax profits of £600,000.