PS&C acquires Pure Hacking for $8.3 million
- 27 August, 2014 18:27
ASX-listed people, security and communications services provider, PS&C (AX:PSZ) has acquired Sydney-based cyber security company, Pure Hacking for $8.3 million.
Payment will be made in the form of $4.15 million in cash and $4.15 million in PS&C shares.
“We are confident in the growth of the cyber security industry and see this acquisition as expanding our capability and enabling us to increase our offering of services to accommodate larger customers,” PS&C managing director, Kevin McLaine, said. “The business has a growing managed service income stream and we will look to grow that across our group.”
PS&C expects Pure Hacking to contribute $2.5 million to $3 million in earnings before tax in FY15.
The services provider achieved normalised full year revenue of $62.32 million and earnings before tax of $6.72 million for the 2014 financial year. Net profit for the period reached $3.2 million.
In a statement to the ASX, PS&C said its actual earnings result was impacted by deliveries not occurring prior to June 30 in its communications business, but they will provide a strong start for the 2015 financial year.
The performance of its security division improved and will continue to drive strong margins.
“The privacy act changes enacted in March and general awareness of cyber security issues will also continue to drive activity and re-evaluation of security issues within the customer base,” the company said.
PS&C also has its eye on acquisition opportunities that will be earnings per share accretive and provide synergies across existing businesses.
PS&C listed on the ASX in December 1 and was formed after the acquisition of Allcom Networks; Allcom Consulting Services; Systems and People; Securus Global Consulting and Hacklabs.