Access Intelligence PLC Disposal (0627D)
July 04 2016 - 2:00AM
UK Regulatory
TIDMACC
RNS Number : 0627D
Access Intelligence PLC
04 July 2016
4 July 2016
ACCESS INTELLIGENCE PLC
("Access Intelligence", "the Company" or "the Group")
DISPOSAL
Access Intelligence Plc (AIM: ACC), a leading supplier of
Software-as-a-Service (SaaS) solutions for reputation and
operational risk management, announces that it has agreed terms to
dispose of 100% of its subsidiary AITrackRecord Limited ("AITR") to
TrackRecord Holdings Limited ("TrackRecord"), a newly formed
company founded by David McNair Scott, current CEO of
TrackRecord.
Terms of the Disposal
AITrackRecord provides a powerful complete solution for
training, competence and compliance management, designed
specifically for the highly regulated UK financial services
industry.
Access Intelligence has entered into an agreement with
TrackRecord whereby Access Intelligence will receive 20% of the
share capital of TrackRecord and a deferred cash payment of
approximately GBP100,000, payable when a similar amount is received
by AITR from HMRC as a R&D tax credit for AITR's business in
the pre-acquisition period.
Joanna Arnold will also be joining the board of TrackRecord as a
Non-Executive Director and the Group's representative.
TrackRecord recently received GBP2.1 million in cash in return
for 80% of the equity in the business, therefore the value of
Access Intelligence's 20% stake is approximately GBP0.5
million.
For the year ended 30 November 2015, AITR contributed revenue to
the Group of GBP0.7 million, an EBITDA loss of GBP0.4 million and a
loss before tax of GBP2.4 million. The total value of the net
liabilities being disposed of as at 30 November 2015 was GBP1.6
million.
Use of Proceeds
The GBP100,000 of deferred consideration will provide additional
working capital to support the growth and development of the
Group.
Joanna Arnold, CEO of Access Intelligence, said: "I am delighted
that we have been able to secure a significant investment into
TrackRecord via this new venture in return for reducing ourselves
to a minority holding of 20%. We believe that with the new money
coming into TrackRecord, the business now has the capital to expand
and we are pleased to be part of the process."
David McNair Scott, CEO of TrackRecord said "I am excited to be
taking on the AITrackRecord business in partnership with Access
Intelligence. We are well positioned to take advantage of the
burgeoning market opportunity and have a unique capability to help
our customers through this period of change driven by the UK's
regulatory mandate."
For further information:
0843 659
Access Intelligence plc 2940
Joanna Arnold (CEO)
Daryl Paton (CFO)
Allenby Capital Limited (Nominated 020 3328
Adviser & Broker) 5656
David Worlidge / James Thomas
This information is provided by RNS
The company news service from the London Stock Exchange
END
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