Last checked at 22 Sep 2020 07:00
Learning Technologies Group plc
("LTG", the "Group")
(AIM: LTG)
Acquisition of eCreators
- Australia's award-winning and largest commercial provider of Moodle, the open-source Learning Management System ("LMS")
- Builds on LTG's position in high-value Moodle market, following acquisition of Open LMS in March
Learning Technologies Group plc, the provider of services and technologies for digital learning and talent management, announces the proposed acquisition of eCreators for an initial cash consideration of A$5.5 million (c.£3.1 million).
eCreators is Australia's largest provider of Moodle, the leading open-source LMS. The business will be integrated into LTG's existing market-leading Moodle business, Open LMS. This acquisition is in line with LTG's strategy to add complementary expertise and geographical reach in the global Moodle market, as outlined at the time of the announcement of the Open LMS acquisition in March 2020.
eCreators customers will benefit from a broader offering, with many of the features and functionality across the expanded offering shared between the Open LMS and corporate learning focused Learnbook platforms. eCreators will have access to LTG's capacity to invest in innovation and global scale.
Cash consideration at completion will be A$5.5 million (c.£3.1 million). Further performance payments, capped at A$6.5 million (c.£3.7 million) are payable in cash based on ambitious growth targets in each of the years ending 31st December 2021, 2022 and 2023. The acquisition will be funded from existing cash and is expected to be immediately earnings accretive.
In the fiscal year ended June 2020, eCreators generated unaudited revenues of c.A$4.6 million (c.£2.6 million), of which approximately 60% are recurring subscription fees. The proposed acquisition is subject to regulatory approval and is expected to complete before the end of October 2020.
Jonathan Satchell, CEO of LTG, said:
"I am delighted that eCreators is joining LTG. eCreators' culture fits closely with ours, and I am particularly excited by its potential to integrate with and extend the capability and geographic reach of our market-leading Moodle expert, Open LMS. Our Moodle technology is highly scalable, and eCreators will help us identify and pursue the growth opportunity in the global Moodle market."
Enquiries:
Learning Technologies Group plc Jonathan Satchell, Chief Executive Neil Elton, Chief Financial Officer
| +44 (0)20 7402 1554 |
Numis Securities Limited (NOMAD and Corporate Broker) Stuart Skinner, Nick Westlake, Ben Stoop
| +44 (0)20 7260 1000 |
Goldman Sachs International (Joint Corporate Broker) Bertie Whitehead, Adam Laikin
| +44 (0)20 7774 1000 |
FTI Consulting (Public Relations Adviser) Rob Mindell / Jamie Ricketts / Chris Birt / Jamille Smith | +44 (0)20 3727 1000 |
About LTG
LTG is a leader in the growing workplace digital learning and talent management market. The Group offers end-to-end learning and talent solutions ranging from strategic consultancy, through a range of content and platform solutions to analytical insights that enable corporate and government clients to close the gap between current and future workforce capability.
LTG is listed on the London Stock Exchange's Alternative Investment Market (LTG.L) and headquartered in London. The Group has offices in Europe, North America, LATAM and Asia-Pacific.
About Moodle
The Moodle community brings together the education and corporate learning markets, for the development of skills to support the needs of organisations across the globe. For corporate users, it enables businesses to offer a continuous learning experience for their people wherever they are and at any time.