Acquisition of Phoenix Health & Safety

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO. 596/2014 AS IT FORMS PART OF DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018.  UPON THE PUBLICATION OF THIS ANNOUNCEMENT THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

25^th October 2024

Wilmington plc

Acquisition of Phoenix Health & Safety

Wilmington plc (LSE: WIL, "Wilmington" or the "Group"), the provider of data, information, education and training services in the global Governance, Risk and Compliance ("GRC") markets, has acquired Phoenix HSC (UK) Limited ("Phoenix Health & Safety") for an initial cash consideration of £30.25 million.

Phoenix Health & Safety offers training for a range of internationally recognised and regulated health, safety and environmental ("HSE") qualifications. The acquisition strengthens Wilmington's capabilities in the provision of must-have training and education to regulated customers and expands the Group's position in the growing HSE training market, alongside Astutis, which was acquired in November 2023.

Wilmington will pay an initial cash consideration of £30.25 million, with additional contingent consideration payable based on Phoenix Health & Safety's financial performance in each of the three years ending 31 March 2028. The total consideration will be financed from the Group's existing cash resources. The initial consideration represents a valuation in line with Wilmington's current trading multiple. The acquisition is expected to be earnings accretive in the first full year of ownership. 

The acquisition is consistent with Wilmington's strategic aim to build on its already strong presence in large and growing GRC markets. These markets are underpinned by strong macro drivers, particularly the increasing volume and enforcement of regulation, the increased importance of ESG and widespread adoption of technological and data-driven compliance solutions.

Wilmington focuses on assets which operate in attractive market segments and which have strong leadership and sustainable competitive advantages. Phoenix Health & Safety has demonstrated a strong track record of organic growth over a number of years.

Mark Milner, Chief Executive Officer of Wilmington, said:

"This acquisition strengthens our offering to customers in the health, safety and environmental markets and will be earnings enhancing from day one.

"Phoenix Health & Safety is an excellent addition to our group, with a strong fit with our core strategic focus on GRC, a differentiated competitive position which is built on superior outcomes for customers, a strong management team, and an attractive financial profile.

"Phoenix Health & Safety has excellent capabilities in digital learning and we are excited by the opportunity to partner with Nick and his team to support the next phase of the company's growth."

Background to Phoenix Health & Safety

Phoenix Health & Safety was established in 2005 by Nick Higginson and has grown to become a leading provider of workforce health and safety training in the United Kingdom.

Phoenix Health & Safety delivers training to global blue-chip clients and industry professionals for a wide range of internationally recognised health, safety and environmental qualifications. Phoenix Health & Safety works with a number of leading accreditation partners including NEBOSH (National Examination Board in Occupational Safety and Health) and IOSH (Institution of Occupational Safety and Health).

Phoenix Health & Safety has a strong capability in the provision of mission critical HSE training and offers over 50 different training courses with a comprehensive range of delivery options, including in-person and virtual classroom-based training, and a growing capability in e-learning.

Headquartered in Cannock, England, Phoenix Health & Safety has over 50 employees.

The person responsible for the release of this announcement on behalf of Wilmington is Guy Milward, the Chief Financial Officer of Wilmington.

For further information, please contact:

Wilmington plc                                                                                                        020 7490 0049

Mark Milner, Chief Executive Officer
Guy Millward, Chief Financial Officer

Meare Consulting                                                                                                    07990 858548

Adrian Duffield

Notes to Editors

Wilmington plc is the recognised knowledge leader and partner of choice for data, information, education and training in the global Governance, Risk and Compliance (GRC) markets. Wilmington employs over 650 people and sells to around 120 countries. Wilmington is listed on the main market of the London Stock Exchange.