(Sharecast News) - Professional services company Norman Broadbent has agreed to acquire the outstanding minority interest of 25% of Norman Broadbent Interim Management (NBIM) from Angela Hickmore, it announced on Monday, for £0.135m.
The AIM-traded firm said the purchase price would be satisfied by the payment of an initial cash consideration of £65,000, at completion, and the issue of consideration shares worth £70,000.
For the year ended 31 December, NBIM generated net fee income after interim costs of £2.24m, and a resulting profit of £0.25m.
That, the board said, evidenced the success of the overall group strategy, and the growth NBIM had achieved since its relaunch in 2016 under Angela Hickmore's leadership.
Following the appointment of Mike Brennan as Norman Broadbent's group chief executive officer in April 2016, NBIM was relaunched as part of a new strategy to build a broader, "more balanced" professional services business.
Hickmore was appointed as NBIM managing director in the fourth quarter of 2016, with the mandate to grow that part of the business, thus providing an additional and "high impact" service to clients while generating high-value, contractually-guaranteed annuity revenue for the group.
NBIM was now established in the group's key areas of market and functional specialisations, and had successfully leveraged the "heritage and high-end" Norman Broadbent brand.
As clients faced "increasingly complex" and immediate challenges, much of NBIM's activity was focused on securing the talents of senior level, high impact Interim professionals to meet short-term highly specialised needs.
Unlike many other Interim providers, NBIM did not focus on the "transactional and commoditised" low-margin end of the market.
As the company already owned 75% of NBIM, the subsidiary's financial information was already fully consolidated into the group's published financial results.
"Angela has played a pivotal role in taking NBIM from being moribund, to something of substance," said chief executive officer Mike Brennan.
"She has also played - and continues to play - an important role across the group."
Brennan said that under her leadership, NBIM had grown and impacted positively on the wider group financially, and in terms of its client proposition.
"As we streamline the group and create multi-service, client focussed 'hubs', the acquisition of this minority interest fully aligns NBIM with the group.
"The acquisition also enables Angela, and other senior members of our wider team, to take on more responsibilities across the group as we move firmly into the next phase of growth."
At 0951 BST, shares in Norman Broadbent were down 4.57% at 5.01p.
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