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K3C's Annual results will be released in late October rather than late September this year due to its "transformational year".
I decided to look back at what has occurred since that financial year started in June 2020 and it's true there has been a huge amount of activity and acquisitions. As per their website: "The acquisitions are in line with K3’s strategy to acquire complementary and value accretive businesses to build out its existing SME focussed service lines."
* Aug 2020: Acquisition of Quantuma (restructuring and insolvency, corporate finance, forensic accounting and investigations) for £27m, immediately earning enhancing.
* Sep 2020: Acquisition of rannd (helps businesses to secure R&D tax credits from the government in return for a percentage of the amount achieved)
* Feb 2021: Launch of K3 Hub, a new member network for intermediaries that offers a single point of contact for K3C's many subsidiary companies.
* Mar 2021: Forecast upgrade of EBITDA of no less than £12 million. Acquisition of inTax (leading tax investigations team is comprised of Chartered Tax Advisers and former HMRC Inspectors) and Aspect Plus (Insolvency Practioners).
* Apr 2021: Another Forecast upgrade: Revenue expected to be in the region of £45 million and Adjusted EBITDA* of no less than £13.25 million.
* Jun 2021: Revenues approximately £46.0 million and adjusted EBITDA* of not less than £14.25 million
Post Year-end:
* Jul 2021: Acquisition of Knight R&D (specialist research and development (R&D) tax advisory firm servicing UK SMEs)
* Jul 2021: Acquisition of Knight Corporate Finance Group (specialist M&A advisory firm within the telecoms and tech sector)
K3C cannot stay under the radar for much longer and I think the results in the next few weeks will bring them a lot more attention. Interestingly, Duff & Phelps - who runs businesses of the same type as K3C - were bought for $4.4bn by Stone Point in January this year. K3C Market is just £260m. DYOR and good luck.
"As the Covid-19 pandemic continues to push the global economy into a sustained recession, Quantuma is only the latest in a string of consultancies specialising in insolvency and corporate recovery services to attract backing. The likelihood of heightened business for the restructuring consulting segment was recently illustrated by a consortium of investors led by Stone Point Capital and Further Global, who were willing to sink an estimated $4.2 billion into the purchase of Duff & Phelps."
https://www.consultancy.uk/news/25233/quantuma-agrees-27-million-merger-with-k3-capital-group