South Yorkshire talent management group completes second acquisition in six weeks

South Yorkshire-based Nicholas Associates Group has acquired Ashley Kate HR, a specialist HR recruitment company, for an undisclosed seven figure sum.

This is Nicholas Associates’ second acquisition in as many months, following the purchase of XL Graduate Placement in November 2015.

Supported by RBS and RBSIF, the acquisition is part of an eight figure refinancing package that will underpin the continued expansion of the firm.

Ashley Kate HR, which has delivered in excess of 35% growth in revenue and profits in the last three years, is to become a key business in Nicholas Associates Group’s new apprentice to boardroom talent management solutions proposition.

Lisa Gainsford, Nicholas Associates Group CEO, said: “The acquisition of Ashley Kate HR is an essential step in diversifying our group into specialist HR recruitment. The company has an exceptionally strong brand and online social media presence, robust financial performance and a niche specialism that complements our other professional arms of Engineering, Finance and Executive recruitment. We are delighted the Vendors have given our Group the opportunity to take their business to the next level.”

The Vendors of Ashley Kate HR commented: “Since its inception in 2001, Ashley Kate HR has been a recruiter of choice for HR professionals. After 15 years of running the business as an independent recruitment consultancy we made the decision to find a new home for the company that would offer growth whilst maintaining quality of service; the personal, professional and honest service that the HR professionals we have worked with have come to expect.

“We are delighted that Ashley Kate HR has now become part of the Nicholas Associates Group, a company whose values, ethos and reputation are firmly aligned with those of Ashley Kate HR’s. We are confident that the investment, not just financial, from the new owners will ensure the company continues to go from strength to strength.”

Corporate Partner Paul Mann and Associate Mae Salem from Squire Patton Boggs in Leeds advised Nicholas Associates. Paul Mann added: “We are pleased to support the management team on a further acquisition in such short order, following the company’s acquisition of XL Graduate Placement in November. These transactions underline the scale of ambition of the management team which has a clear vision for the growth of its business, leveraging the brands within its group to access new specialist markets.”

DSW TS Leeds provided due diligence for the Group and RBS.

Stuart Watson, director of the Corporate Transactions Team at Royal Bank of Scotland, also said: “We are confident this acquisition will be a profitable decision and is fundamental to Nicholas Associates strategy of diversifying into higher margin sectors.”

Advising the Vendors were Springboard Corporate Finance led by partner Ben Bolt and Assistant Director James Bailey. Ben concluded: “Ashley Kate HR is an example to many owner managers about the power of the brand and the importance of succession planning when seeking to achieve a clean financial exit. The shareholders have grown a very successful business but have maintained a focus throughout the life cycle on value creation and developing a sustainable business model that will bode well for the future of Ashley Kate HR under Nicholas Associates’ stewardship. We wish all parties well for the future.”

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