ASSET VISION CO LTD — M&A Activity 2018

Apr 4, 2018

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5[th] April 2018

PS&C to strengthen business through Seisma acquisition

Highlights

• PS&C Ltd (“PSC”, the Company”) (ASX:PSZ) proposes to acquire business and technology consultancy Seisma Pty Ltd

• Seisma has a staff base of 120 employees working across financial services, communications and utilities sectors

• Seisma forecasting:

  • FY18 revenues to reach $21 million

  • FY19 revenues forecast to exceed $28 million

• Industry leading sales and management capability with a proven track record of building a revenue base of more than $80 million per annum underpinning future growth

• Complementary fit into PSC’s existing business and growth strategy

• Consideration for the acquisition will be a mixture of PSC scrip and cash on an acquisition multiple of between 4.5 and 5.5 times FY18 EBITDA

PSC is pleased to announce it has signed a Term Sheet to acquire business and technology consulting company Seisma Pty Ltd via a Share Sale and Purchase Agreement (SSPA). The Term Sheet is subject to finalisation of Due Diligence and obtaining final PSC Board and Shareholder approval.

Seisma is a specialist technology services company with more than 120 employees, possessing a strong footprint across the financial services, communications and utility sectors.

PSC Managing Director and CEO Glenn Fielding said:

“The Company had identified several areas where it needed to extend its existing business, and it believed acquiring Seisma would fit with its strategy to become a leader within its specialised practices.

“We identified the need to increase our presence in the growing areas of digital enterprise and information management and analytics, and Seisma has shown itself to be a growing IT provider and a specialist in these areas.

“With the acquisition of Seisma, the combined businesses would provide the Group with more than 400 billable IT consultants, grow coverage in utilities, communications and banking, and substantially increase leadership and sales capabilities. At the same time, the acquisition will also allow PSC to offer more services to the combined client base.

PS&C Ltd | Level 10,410 Collins Street Melbourne 3000 | (03) 9682 2699 pscgroup.com.au | info@pscgroup.com.au a.c.n. 164 718 361

“Seisma is already delivering combined revenue streams of greater than $20M per annum, providing a platform to grow quickly in the right environment, and we expect the business to continue to show strong growth in FY19 and beyond.”

The Company expects to complete its due diligence enquiries and execute a SSPA by no later than 25 April 2018. At the same time, the Company will send a Notice of Meeting to Shareholders to seek approval for the acquisition to proceed on the terms to be outlined in the Notice of Meeting.

For further information contact:

Glenn Fielding, Managing Director Jeff Bennett, Chief Financial Officer +61 3 9682 2699

Matt Wright NWR Communications +61 451 896 420

PS&C Ltd | Level 10,410 Collins Street Melbourne 3000 | (03) 9682 2699 pscgroup.com.au | info@pscgroup.com.au a.c.n. 164 718 361