Styles & Wood buys critical facilities company Keysource for £2m

21st Sep 2016 09:58

(ShareCast News) - Integrated property services company Styles & Wood has acquired Sussex-based critical facilities and data centre services provider Keysource for an initial consideration of about £2m.It said an additional payment will be made to reflect any excess working capital over and above the ongoing requirements of the business. This is expected to amount to £2m and will be covered by the cash inherited in Keysource at the completion date.The initial consideration will be satisfied by a cash payment of £1m and the issue of 257,365 new ordinary shares to the vendors of Keysource, who will remain with the business, and the deal is expected to be earnings-enhancing in full-year 2017. Chief executive officer Tony Lenehan said: "The data centre market is a sector we have been looking to access for some time and believe it has strong growth prospects driven by a combination of macro and regulatory factors."The acquisition follows our successful consortium arrangement with Keysource on an ongoing major banking framework and we have been very impressed with the team's expertise and project delivery capabilities."At 1000 BST, Styles & Wood shares were up 4.2% to 426.25p.