DeltaNet International Limited

Smith & Williamson, the accountancy, investment management and tax group, has advised on the sale of DeltaNet International Limited to Marlowe plc for an initial consideration of £3.0 million.

DeltaNet, established in 1998, is headquartered in Loughborough and provides accredited health & safety, compliance & HR eLearning courses to companies across the UK and internationally. DeltaNet employs 36 staff, around half of whom are involved in content development and software & app design.

For the year ended 31 December 2019, DeltaNet generated EBITDA of £0.5 million on revenues of £2.4 million. Net assets at 31 December 2019 were £0.5 million. The total enterprise value is expected to be in the region of £4.5 million.

Marlowe is a UK leader in business-critical services and software which assure safety and regulatory compliance. The acquisition will bolster Marlowe's market-leading position in the UK’s health and safety market.

Iain Lownes, partner, and Paul Stagg, senior manager, from Smith & Williamson’s Corporate Finance team were lead financial advisors on the transaction. Additional advice was led by Ray Abercromby, Tax partner.

Darren Hockley, Managing Director of DeltaNet, said: “Selecting the right advisors was critical at such a key point of change for myself and the other shareholders. Smith and Williamson’s support, technical expertise and attention to detail were crucial in delivering this outcome. I’m thrilled with everything the team has done and would highly recommend them.”

Iain Lownes commented: “Smith & Williamson has a strong focus on technology businesses and we are delighted to have completed another transaction in this sector, one that will facilitate DeltaNet’s growth while broadening Marlowe’s service capabilities to existing customers.”

Legal advice was provided by Geoff Perry, Indy Bening and Timothy Jarvis of Squire Patton Boggs (UK) LLP.

For further information please contact:

Iain Lownes
T: +44 (0)117 376 2239
E: Iain.Lownes@smithandwilliamson.com

Paul Stagg
T: +44 (0)117 376 2112
E: Paul.Stagg@smithandwilliamson.com

DISCLAIMER
By necessity, this briefing can only provide a short overview and it is essential to seek professional advice before applying the contents of this article. This briefing does not constitute advice nor a recommendation relating to the acquisition or disposal of investments. No responsibility can be taken for any loss arising from action taken or refrained from on the basis of this publication. Details correct at time of writing.

Smith & Williamson Corporate Finance Limited
Authorised and regulated by the Financial Conduct Authority. A member of Oaklins International Inc. Smith & Williamson Corporate Finance Limited t/a Oaklins Smith & Williamson is an independent firm which offers financial advisory services. It is a member of Oaklins International Inc., which comprises a number of firms around the world which are all separately constituted and regulated according to their local laws. Oaklins is a trade name owned by Oaklins Swiss Verein and licensed to Oaklins International Inc. They do not provide any financial advisory services themselves. Please refer to www.oaklins.com/legal for legal notices. Oaklins Smith & Williamson is part of the Tilney Smith & Williamson group.