Perth-based Integrated Legal Holdings Ltd has acquired legal practice Peter Marks Succession Lawyers for $125,000, to be incorporated into subsidiary Talbot Olivier.
The move represents the company's first acquisition since its debut on the Australian Securities Exchange last month, boosting its share price 7.1 per cent, closing at 30 cents.
The text of a company announcement is pasted below
The Board of Integrated Legal Holdings Limited (ASX: IAW) ("Integrated") is pleased to announce that an agreement has been executed to acquire the legal practice of the late Peter Marks trading as Peter Marks Succession Lawyers.
This new acquisition will be merged into the existing practice of Integrated's wholly owned subsidiary Talbot Olivier. This acquisition promotes the Integrated business strategy which encourages acquired practices to enhance their own growth aspirations via the acquisition of complementary practices.
The assets to be purchased are the business and its goodwill and business assets, business name, plant and equipment, client files, records and client lists, excluding all work in progress, outstanding debtors, and any motor vehicles. Assets acquired include:
- a Will bank of over 1,100 Wills held by the practice; and
- the 105m2 premises at 26th floor of St Martins Tower, 44 St Georges Terrace, Perth which is currently under lease contract for a further 4½ years, at a rate significantly below current market value.
The consideration for the purchase is cash only of $125,000 payable within 90 days of completion. The cash will be funded from working capital. Completion is expected within 14 days.
After a 90 day period from acceptance a further offer to the vendors will be made by Talbot Olivier to purchase work in progress and debtors which are outstanding at the time.
The acquisition is expected to contribute to the earnings of Integrated from the first year.
"This is an exciting acquisition for us", said Integrated spokesman, Brett Davies. "It marks the first acquisition of a legal practice under the Integrated business model since listing on 17 August 2007, and reinforces the company's commitment to its active acquisition strategy".
