Peoplebank acquires leading WA recruiter

Stan Beer
Wednesday, 23 May 2007 17:48

IT People - Recruitment

ASX listed specialist technology recruiter Peoplebank Australia Limited (ASX:PBA), has acquired WA-based IT&T recruitment firm, Gryphon Consultants, for $3.15 million with a further incentive payment for growth over the next 12 months. The acquisition will be earnings accretive from the outset and will be funded using existing debt facilities, according to a Peoplebank statement.

Gryphon has 14 staff and a roster of blue chip clients that complements Peoplebank's existing client base. Currently Gryphon has approximately 100 on-hired  IT&T professionals generating annual revenue of $10.5 million.

Peoplebank managing director, Leon Lau, said the Gryphon acquisition fills a gap in the company's national network, giving it a strong foothold in the booming WA economy and enabling it to extend the range of services it provides to clients.

"This acquisition reinforces Peoplebank's continued commitment to playing an industry leadership role and delivering solid, consistent returns to our shareholders through a strategy of organic growth and acquisition," he said.

As part of the agreement, Gryphon Consultants' managing director, Tony Ciallella, will remain with the company to ensure a smooth transition.

"This is a very exciting development both for Gryphon and for our WA clients, who will now have access to a far greater depth and breadth of expertise and resources through the Peoplebank network," said Mr Ciallella.  "Peoplebank is a proven performer in the recruitment space, particularly in our core specialisation of IT&T and I am confident that this will be a very happy marriage for all concerned."