ATTURRA LIMITED — M&A Activity 2023

Feb 27, 2023

Atturra Limited ABN 34 654 662 638

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ASX Announcement 28 February 2023

Atturra completes Hammond Street Developments acquisition

Sydney, 28 February 2023 – Atturra Limited (ASX: ATA) ( Atturra ), a leading advisory and technology services business in designing, implementing, and maintaining IT solutions, is pleased to announce that its subsidiary, Veritec Pty Ltd (ACN 166 493 394), has completed the acquisition of Hammond Street Developments Pty Ltd (ACN 074 649 595) ( HSD ) ( HSD Acquisition ). Completion of the HSD Acquisition follows Atturra’s announcement on 25 January 2023.

Melbourne-based HSD is a Microsoft Partner, specialising in Microsoft cloud solutions and Dynamics 365 implementations. HSD has a significant client base of Australian government clients, including the Victorian public sector.

The HSD Acquisition is expected to add incremental revenue of $3m-$3.5m to the FY23 full-year results, with forecast earnings before interest and tax ( EBIT ) offsetting acquisition and integration related expenses. The HSD Acquisition is “Acquisition 02” referred to on page 26 of the Capital Raise Presentation released to the market on the 28 November 2022. The HSD acquisition aligns closely with Atturra’s industry and technology strategy.

Upfront consideration is $6.5m, comprising $6m in cash and $0.5m of Atturra shares, with earn-out/postcompletion consideration of up to $2m in cash, subject to HSD achieving performance hurdles during the FY23 and FY24 financial years. The cash portion of the consideration will be funded from the proceeds of the Placement and Institutional Entitlement Offer in 2022. The purchase price, including upfront and deferred consideration, is based on a multiple of 5x forecast EBIT contribution to Atturra in FY24.

CEO of Atturra, Stephen Kowal, said:

“We are pleased to officially welcome HSD to the Atturra fold. HSD’s values and culture are very much aligned to Atturra’s, and its acquisition supports our strategies for growth within the public sector. This joining of forces will provide even greater opportunity within the Victorian government sector and further build the strength of our technology partnership with Microsoft.

We welcome Narendra Tomar and the entire HSD team to Atturra and look forward to working with them.”

CEO of HSD, Narendra Tomar, said:

“This is an exciting move for HSD, our team, our valued and supportive clients, and our partners. In considering this transaction it became clear to us that Atturra shares our relentless quest for client focus, team culture and values and is respected widely for its authenticity and service excellence. The team at HSD are very proud of the business solutions we have delivered to our clients and are committed and excited to build on this value for our clients as part of the Atturra team.”

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This announcement has been authorised for release by the Board of Atturra Limited.

Atturra Limited ABN 34 654 662 638

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About Atturra:

Atturra is an ASX-listed technology business providing a range of enterprise advisory, consulting, IT services and solutions with a focus on local government, utilities, education, defence, federal government, financial services, and manufacturing industries. Atturra has partnerships with leading global providers including Microsoft, Boomi, Software AG, OpenText, Smartsheet, QAD, Infor and Solace and its clients are some of the largest public and private-sector organisations in Australia. For more information visit: www.atturra.com.

About HSD:

Headquartered in Melbourne, HSD is a systems development, integration and consulting services company serving Australia’s government and enterprise sectors for over 27 years. HSD has a proven record as a long-term partner for government organisations in the design, delivery and support of large-scale service management solutions, with numerous successful implementations within the education sector and regulatory environments. HSD works with its clients and stakeholders to deliver outcomes that boost operational efficiencies, drive down costs and increase business value from IT investments. As a Microsoft Partner, HSD specialises in Microsoft cloud solutions and Microsoft D365 implementations. HSD also continues to make notable contributions in communications data analysis software and appliances for intelligence, policing and compliance purposes.

Contacts:

Investors Stephen Kowal CEO Atturra P: +61 2 8241 1725 E: stephen.kowal@atturra.com