Accordant : Announcement – Hobson Leavy Acquisition

Today, Accordant Group Limited [NZX: AGL] has come to a consensus and reached an agreement with the Auckland-based executive search firm Hobson Leavy on their acquisition. They said in a statement-

“We are thrilled to announce the acquisition of another well-respected and market leading brand into the Accordant Group. Hobson Leavy’s commitment to quality work and excellent outcomes is well regarded across the business community and aligns strongly with our existing culture and ethos. We look forward to working with founders Carrie Hobson, Stephen Leavy and the team over the coming months as we bring added capability in executive search to Accordant clients, whilst introducing our wider Group expertise and capacity to the Hobson Leavy team.”

Cherrington underscored the successful integration of prior acquisitions-

“as announced at our Annual General Meeting last year, growth via acquisition remains a key pillar of Accordant’s strategic plan, building our capability, reach and additional services with purpose. Today’s announcement is another significant step forward on that journey.”

Drawing from its current debt facilities, the acquisition is expected to grow Accordant’s annual EBITDA by more than two million dollars. For Fiscal Year 2022, Accordant reported an impressive revenue of $221.5m due to their successful placement of almost eleven thousand people into temporary, contract and permanent job roles.

Reflecting on the Group’s path over the past decade, Simon Bennett, Accordant Chair commented that it began when Madison Recruitment was acquired and resulted in New Zealand becoming home to the largest recruitment firm. He said0

“We had a well-established national footprint in the blue-collar sector with AWF. Madison brought diversification into the white-collar space, and the collective scale of it compelled the Group to consider the role it had in supporting the growth and development of ‘NZ Inc’.”

Enhancing our scope of knowledge and services for clients, Absolute IT was acquired in 2016 while JacksonStone & Partners followed suit three years later in 2019.

Hobson Leavy will preserve its distinct operational control and identity, consistent with Accordant’s prior acquisitions. Founders Carrie Hobson and Stephen Leavy are eager to remain in charge the company while simultaneously enjoying new access to the Group’s infrastructure, an expanded network of contacts, and extra services. This enables them to keep providing a consistently high level of service they have become well known for.

Carrie Hobson said in a statement-

“We now have the backing of a listed company, but what’s more pleasing is that we are part of a Group whose entire focus is on solutions for the unique needs of New Zealand’s labor market.”

Simon Bennett concluded his remarks by saying-

“Against the backdrop of an election year, recessionary concerns, and the changing world of work, New Zealand organizations are developing their 2023 hiring and retention strategies, and Accordant remains well positioned to help solve those challenges.”

The final transaction is due to be completed by the 31st of January, 2023.  Further announcements will be made in due course.

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