LONDON (ShareCast) - (Sharecast News) - Business systems and software company Marlowe has acquired compliance and safety e-learning platform DeltaNet International, it announced on Monday, for initial consideration of £3m.
The AIM-traded firm said Loughborough-based DeltaNet provides accredited health and safety, compliance and human relations e-learning courses to companies across the UK and internationally.

It employs 36 staff, around half of which were involved in content development, and software and app design.

Customers subscribe to DeltaNet's "gamified and interactive" courses to ensure their employees were trained in, and complied with, safety, HR and business compliance standards and legislation.

The board said the acquisition offered "significant synergies" with the company's existing governance, risk and compliance business lines, in particular Ellis Whittam and Law At Work.

For the year ended 31 December 2019, DeltaNet generated EBITDA of £0.5m on revenues of £2.4m.

Net assets at the end of 2019 totalled £0.5m.

The total enterprise value was expected to be in the region of £4.5m, including a deferred consideration expected to be in the region of £1.5m, contingent on EBITDA growth.

Marlowe said the acquisition would be funded from its existing cash resources.

"The acquisition of DeltaNet broadens the group's expertise in health and safety and compliance, and provides Marlowe with new opportunities for growth in the highly complementary e-learning market," said chief executive officer Alex Dacre.

"DeltaNet will broaden the Group's service capabilities to existing customers and will offer significant synergies, particularly with Ellis Whittam and Law At Work.

"DeltaNet brings more than 600 new customers, including international blue-chip companies, who will be able to benefit from Marlowe's business critical service and software."

At 0928 GMT, shares in Marlowe were up 0.17% at 576p.

Email this article to a friend

or share it with one of these popular networks:

• DIGG
• FACEBOOK
• STUMBLEUPON
• MIXX
• YAHOO BUZZ
• DELICIOUS
• REDDIT
• NEWSVINE