Outsourcing and recruitment company Chandler Macleod Group (ASX:CMG) has expended into Indonesia with the $850,000 purchase of a controlling stake in a local contracting business.
Chandler Macleod will acquire an 86% stake in Advance Career International (ACI), a white-collar contracting business centred on the banking and telecom sectors.
ACI has around 3,600 people working with clients in the region, and is forecasting an ebitda of between $500,000 and $1 million for FY12.
Chandler Macleod will pay cash for the purchase, subject to conditions and regulatory approval. The remaining 14% of ACI will continue to be held by its managing director.
Ian Basser, Chandler Macleod's own managing director, said he was excited by the growth prospects of the acquisition target.
“The Indonesian market represents a great opportunity to build our workforce offering in the white-collar space,” he said.
In another recent acquisition, Chandler Macleod bought Ross Human Directions in a deal first proposed in November last year, and which proceeded to compulsory acquisition in March. The company ended up paying $0.75 cash and 1.807 of its own shares for each share.
CMG fell 3.75% during Wednesday's trading to $0.385.