Savile Group to be acquired by Penna for £1.1m

HR firm Penna has agreed to acquire HR outsourcing firm Savile Group, with Penna’s chair Stephen Rowlinson saying the deal will create a broader service and the possibility of reducing administration costs.
Tue, 12 Nov 2013HR firm Penna has agreed to acquire HR outsourcing firm Savile Group, with Penna’s chair Stephen Rowlinson saying the deal will create a broader service and the possibility of reducing administration costs.

Savile shareholders are to be paid 7p each for their shares, more than double the 3.25p value they held at the close of business yesterday (11 November), valuing the business at £1.1m.

The directors of Savile will unanimously recommend that shareholders accept the offer, with details available via the company's website.

Neither party was available to provide further comment to recruiter.co.uk on the day both released new financial results (see below).

Savile Group
Savile announces revenues up by 10% year-on-year in the 12 months to 30 June, reaching £8.11m, with the firm converting last year’s operating loss before exception items of £40k into £110k gain this year. Full results are available online.

However, chair David Harrel called 2012-13 “another difficult year”, and was very downbeat in describing the period since 30 June, with the post-summer pickup in September “much weaker than in previous years”.

Penna
The firm’s half-year results, again available online, with revenues for the six months to 30 September down by 3% to £31.9m, but post-tax profits rising from £600k to £800k versus the same period last year.

Penna chair Rowlinson says: “We intend and expect all of our service lines to capitalise on this improving economic outlook to expand both by organic growth and by carefully planned acquisitions.”

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