(Alliance News) - Sanne Group PLC on Wednesday reported a "resilient" financial performance for the first half and announced its third acquisition of the year.
In a trading update, the London-based provider of alternative asset and corporate services reported a "resilient" performance in the six months to June 30 and continued to see growth returning to its core markets despite the lingering Covid-19 pandemic. As such, the board said it remains confident in delivering full-year results in line with its expectations.
This improved performance included a significant increase in new business activity, with first half 2021 annualised total new business wins up around 8% on the second half of 2020 to GBP15.7 million.
Also on Wednesday, Sanne Group said it has acquired the European fund administration business of PraxisIFM Group Ltd, PraxisIFM for GBP54 million.
"This strategically important acquisition augments Sanne's existing presence in this significant sector, especially for the UK market whilst also deepening its rapidly expanding footprint in Guernsey, the pre-eminent domicile for European private equity funds," the company said.
The acquisition is expected to complete during the final quarter of 2021, making it Sanne's third acquisition of the year. The acquisitions of PEA and STRAIT, which were completed in the first half, have performed well in the period.
The funds business is expected to deliver revenues of around GBP13 million for the financial year ending April 30, 2022.
Meanwhile, Sanne said remains in discussions with Cinven Ltd regarding a possible offer for the entire issued and to be issued share capital of Sanne. The company in May rebuffed Cinven's takeover approach worth GBP1.3 billion.
Sanne will report is half-year earnings on September 14.
Shares in Sanne Group were up 0.4% to 850.00 pence each in London on Wednesday morning.
By Amrit Sahota; newsroom@alliancenews.com
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