Last checked at 5 Dec 2023 07:00
5 December 2023
Learning Technologies Group plc
("LTG", the "Group" or the "Company")
(AIM: LTG)
Disposal of non-core assets
Sale of Lorien Engineering Solutions & TTi Global staffing contracts
Learning Technologies Group plc, a global market leader in digital learning and talent management, has agreed to sell Lorien Engineering Solutions, a provider of engineering design and project management services, to NIRAS Group, a global engineering consultancy, for a cash consideration of $21.4 million on a cash and debt free basis (subject to customary adjustments). Completion is expected to take place in January 2024, subject to the satisfaction of closing conditions. Lorien's management team will continue to be part of the leadership team in the company under its new ownership.
As previously announced at the Company's Full Year Results for 2022, the sale of Lorien completes LTG's exit from two non-core assets within GP Strategies that LTG had identified for disposal. This follows LTG's closure of a UK apprenticeships business in January 2023.
The sale will allow LTG to accelerate its ongoing deleveraging, allocate capital to higher growth areas of the business that are more aligned with its core proposition of digital learning and talent management, and fund future value-enhancing acquisitions. LTG remains focused on delivering the transformation and integration of GP Strategies to capture growth opportunities in a >$100 billion addressable market.
For the full year ended 31 December 2023, Lorien is expected to generate $21.2m revenue and $4m EBIT.
LTG also confirms it has completed a carve-out of the external staffing business of TTi Global, part of GP Strategies, for a cash consideration of approximately $800k. A number of client staffing contracts (for high quality engineering and technical roles) and people were transferred to Premier Staffing Solution in October 2023. In the last twelve months to October 2023, the contracts generated $14.1m revenue and $0.3m EBIT.
Jonathan Satchell, Chief Executive Officer of Learning Technologies Group, said:
"We are pleased that Lorien has found an excellent home in NIRAS which has the strategy and team to develop Lorien's offering. Alongside the carve-out of contracts from TTi, these transactions are further important steps in purifying GP Strategies' focus on its core mission of corporate learning and talent development solutions."
Enquiries:
Learning Technologies Group plc Jonathan Satchell, Chief Executive Kath Kearney-Croft, Chief Financial Officer
| +44 (0)20 7832 3440 |
Deutsche Numis (NOMAD and Corporate Broker) Nick Westlake, Ben Stoop, Tejas Padalkar
| +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) Jamie Ricketts, Emma Hall, Lucy Highland, Jemima Gurney | +44 (0)20 3727 1000 |
About LTG
Learning Technologies Group plc (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, South America and Asia-Pacific.
About NIRAS Group
NIRAS Group is an engineering consulting firm, headquartered in Denmark with a global presence. The Group provides technical design, engineering and project management for development projects across multiple industrial sectors including Food & Beverage, Life Sciences, Infrastructure, Building, Environment, Water and Utilities. NIRAS Group has 2,600 employees in 34 countries with 59 offices. The Group has annual revenues of approximately $500 million.