People Infrastructure acquires nursing recruitment firms

People Infrastructure acquires nursing recruitment firms

Less than two weeks after its initial announcement, People Infrastructure (ASX: PPE) has completed the $16.8 million buyout of nursing businesses First Choice Care and Carestaff Nursing services.

The acquisitions have bolstered People Infrastructure's growing health and community care business, and the company expects they will bring $3.4 million in earnings over the next 12 months.

The buyout was completed through cash reserves as well as proceeds raised from a $20 million share placement which was announced on 13 June.

Managing director Declan Sherman said the acquisitions represent a "logical extension" of the company's health and community care arm in Queensland.

"People Infrastructure will now be the leading health and community staffing business in Easters Australia through the aggregation of our niche nursing brands First Choice and Carestaff, Network Nursing, Victorian Nurse Specialists and Australia's leading community care managed workforce provider Edmen Community staffing solutions," he said.

"We are very excited with the platform People Infrastructure now has in the health and community care sector and the operating synergies and cross selling opportunities between our brands."

These latest acquisitions add to the string of buyouts which began with Halcyon Knights last month.

People Infrastructure bought the Brisbane-based workforce management tech company for $13.5 million on 3 June.

Halcyon is chaired by the founder of Greencross (ASX: GXL), successful investor and former Shark Tank 'shark' Dr Glen Richards.

First Choice and Carestaff, which have been operating for 14 and 20 years respectively, both have reputations as reliable providers of nursing staff to QLD Health public hospitals, private hospitals and residential care operators across the state.

First Choice operates primarily in the Brisbane and Sunshine Coast while Carestaff is a mainstay on the Gold Coast.

The management teams of both businesses will remain intact and continue to drive business growth.

PPE shares have been on a steady incline since the company listed in 2017. The stock closed at $3.23 yesterday.

Never miss a news update, subscribe here. Follow us on Facebook, LinkedIn, Instagram and Twitter.

Business News Australia

Subscribe Now!
Four time-saving tips for automating your investment portfolio
Partner Content
In today's fast-paced investment landscape, time is a valuable commodity. Fortunately, w...
Etoro
Advertisement

Related Stories

Lendlease abandoning offshore markets to recycle $4.5b into Australian opportunities

Lendlease abandoning offshore markets to recycle $4.5b into Australian opportunities

Development and construction giant Lendlease Group (ASX: LLC) has t...

Former DanFX director sentenced to jail for fraud

Former DanFX director sentenced to jail for fraud

Daniel Farook Ali, the former director of unlicensed foreign e...

Insect protein scale-up Goterra signs breakthrough offtake deal with fish feed group Skretting

Insect protein scale-up Goterra signs breakthrough offtake deal with fish feed group Skretting

The Australian arm of the world's largest fish feed business Sk...

Cettire comes out swinging against claims short sellers are amplifying ‘fake product’ allegations

Cettire comes out swinging against claims short sellers are amplifying ‘fake product’ allegations

Online luxury goods retailer Cettire (ASX: CTT) has alleged it is b...