Sign up United Kingdom
Proactive Investors - Run By Investors For Investors

Learning Technologies puts down US marker with US$150mln PeopleFluent buy

A placing at 98p, a 4% discount to last night’s close, raised £85mln to fund the deal .
PeopleFluent has an digitalised HR platform to help boost productivity

Learning Technologies PLC (LON:LTG) has made its first significant move into the US with the acquisition of digital human resources group PeopleFluent for US$150mln.

A placing at 98p, a 4% discount to last night’s close, raised £85mln to fund the deal, the company said in a statement.

WATCH: PeopleFluent 'a significant addition' to the Learning Technologies group

Chairman Andrew Brode and two other directors subscribed £1.9mln in the fundraise, which was closed within hours of being announced.

Brode said: “I am excited by the potential of an enlarged LTG, incorporating PeopleFluent - we will now be a business with estimated £135m revenue and a strong platform for future growth. This is a transformational moment for LTG.” 

E-learning specialist Learnings Technologies has more than doubled in value over the past 12 months as previous acquisitions have started to contribute strongly.

PeopleFluent works for 50 of Fortune’s list of top 100 US companies and generated sales of £83mln and underlying profits [EBIT] of £9.2mln in 2017.

Recurring revenues at the enlarged group would also rise to 68% of the total, with group underlying profits of £23.3mln.

READ: Learning Technologies churning out the cash

The deal is expected to be completed this month and will add immediately to group earnings, said LTG.

Jonathan Satchell, LTG’s chief executive, added: “PeopleFluent brings a large installed base of customers and significantly expands our international footprint with its US presence. We believe the financial effects of the acquisition are highly compelling."

At last night’s close of 102p, Learning Tech is valued at £580mln.

View full LTG profile View Profile

Learning Technologies Group plc Timeline

Related Articles

Picture of XTEK's products
May 04 2018
Patersons' price target of $1.15 implies upside of 130% relative to XTEK's current share price.
Initial public offering
June 26 2018
The timing and ability of the group to realise its investments in partner companies is subject to inherent uncertainty due to numerous factors. The company is looking to change its business model a bit to become a financial supporter of companies looking to float or execute a trade sale
Mobile and tablet
September 07 2018
Ethernity specialises in technology that helps data traffic move efficiently in huge quantities

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

© Proactive Investors 2018

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use