AdvancedAdvT Limited

Board/Management Information • May 14, 2025

National Storage Mechanism | Additional information

RNS Number : 5385I

AdvancedAdvT Limited

14 May 2025

14 May 2025

AdvancedAdvT Limited

Acquisition of HFX Limited

AdvancedAdvT Limited (AIM: ADVT, "AdvT", "the Group"), the international software solutions provider for the business solutions, healthcare compliance, and human capital management sectors has agreed to acquire HFX Limited ("HFX"), the provider of a cloud based workforce management SaaS solution (the "Acquisition"), for a total consideration of £5.3 million net of cash acquired of £0.6 million1, of which £2 million is deferred over two years2. The acquisition will be funded from the Group's existing cash resources.

Acquisition highlights

In the 12 months ended 31 December 2024, HFX recorded pre-exceptional revenue of £3.39 million (73% recurring), with pre-exceptional EBITDA3 of £0.93 million and had net assets of £2.51 million4.

Strategic Rationale for the Acquisition

HFX provides workforce management software to over 450 customers across a wide range of sectors ranging from SMEs to smaller enterprise customers. Combined with WFM the acquisition significantly expands the Groups existing workforce management software offering with a complimentary SaaS product, enabling us to better serve both enterprise and SME customers with tailored solutions. It will also provide an alternative solution for smaller on-premise clients to migrate to and enjoy all the benefits a cloud solution. HFX further expands our addressable market and scale in the UK, aligning with our strategy to enhance long-term growth through recurring SaaS revenues.

Vin Murria OBE, Chairperson of AdvancedAdvT, commented:

"HFX is a recognised leader in workforce management software. It expands our presence in the space and aligns strongly with our strategy to invest in quality software businesses that drive efficiency and long-term value for its customers. We look forward to working closely with the HFX team to unlock value and deliver enhanced integrated solutions to a broader client base.

"We continue to look for complementary acquisitions that further enhance our offering to clients and creates value for shareholders."

1. Cash as at 30 April 2025.

2. £2m deferred payment is £1m due on 13/05/2026 and £1m due on 13/05/2027. There are no performance conditions.

3. "EBITDA" defined as Earnings before Interest, Tax, Depreciation and Amortisation.

4. £4.70 million less the ultimate shareholder loan of £2.19 million, which was settled as a non-cash distribution prior to completion.

Enquiries:

AdvancedAdvT Limited
Vin Murria, Chairperson Gavin Hugill, Chief Financial Officer
Singer Capital Markets (Nominated Adviser and Broker)	Tel: 020 7496 3000
Philip Davies / Sam Butcher
KK Advisory (Investor Relations)	Tel: 020 7039 1901
Kam Bansil

Note to Editors

AdvancedAdvT Limited (AdvT) provides software solutions and platforms across two business transformational areas: business solutions & healthcare compliance, and human capital management.

AdvT is an agent for change. The Group enables the delivery of Artificial Intelligence ("AI"), data analytics and business intelligence, all of which are key future drivers for growth in these sectors where long term digitisation trends are set to transform the workplace for professionals.

AdvT is developing both organically and through acquisitions, by expanding its presence across adjacent markets, geographical boundaries and digital sectors.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.

END

ACQDGGDUIDBDGUX