KELYB - Kelly Completes Sale of European Staffing Business to Gi Group Holdings S.P.A. | Benzinga
- Sharpens its focus on higher margin, higher growth global managed service provider (MSP) and recruitment process outsourcing (RPO), and North American specialty outcome-based and staffing services
- Accelerates transformation to deliver significantly improved net margin
- Cash proceeds to be redeployed in pursuit of growth through organic and inorganic investments
TROY, Mich., Jan. 03, 2024 (GLOBE NEWSWIRE) -- Kelly (NASDAQ:KELYA, KELYB)), a leading global specialty talent solutions provider, today announced it has completed the sale of its European staffing business to Gi Group Holdings S.P.A. ("Gi"). Kelly previously announced on November 2, 2023, that it had entered into a definitive agreement to sell the business to Gi.
"Today is a significant milestone in Kelly's journey to become a more focused enterprise positioned to accelerate profitable growth," said Peter Quigley, president and chief executive officer. "By further streamlining the company's operating model to focus on higher margin, higher growth business and unlocking significant capital, we have greater flexibility and capacity to invest where we can compete and win over the long term."
Kelly received cash proceeds of €100 million upon closing the transaction. Additional proceeds from an earnout provision based on a multiple of an adjusted 2023 EBITDA measure would be payable in the second quarter of 2024 if achieved.
With the sale of Kelly's European staffing business, the company's operating model comprises four reportable segments focused on global MSP and RPO solutions, and North American specialty outcome-based and staffing services. The segments include Professional & Industrial; Science, Engineering & Technology; Education; and Outsourcing & Consulting Group. The company ...