Restore PLC Acquisition (1863K)

TIDMRST

RNS Number : 1863K

Restore PLC

04 May 2022

4 May 2022

Restore plc

("Restore" or the "Group" or "Company")

Strategic acquisition increases Restore Technology capability

Restore (AIM: RST), the UK's leading provider of digital and information management and secure lifecycle services, is pleased to announce that it acquired 100% of the share capital of Ultratec (Holdings) Limited ("Ultratec") on 3(rd) May 2022.

This investment represents a further milestone in the Group's strategic development of Restore Technology.

Ultratec is a highly regarded provider of secure data erasure and physical data destruction services, bespoke technology recycling solutions, hard drive parts supply and Data Centre focussed hardware maintenance services.

A key feature of the business are the innovative and proprietary software solutions, Genesis* and Nemesis*. Both these products deliver additional value by extending the life of hard drive technologies, improving re-use recovery rates and securely erasing data substantially faster than comparable software solutions. The business has around 70 staff based in two locations at Stevenage and Henlow.

For the year to 31(st) March 2022, Ultratec achieved a revenue of GBP7.6 million, generating a profit before tax of GBP1.2 million and had net assets of GBP1.8 million. The business is being acquired in cash for an enterprise value of GBP9.4 million. In addition to the additional technical capability provided by the Genesis and Nemesis technologies, the combination will further increase the scale of Restore Technology and achieve synergies across revenues and operations.

*Genesis was developed by Ultratec as a proprietary software and hardware appliance that securely erases data on various hard disk formats and will also reconstruct hard drives to make previously damaged hard drives useable again. The appliance includes cloud based software to ease deployment and is delivered with a subscription model with recuring revenues. Nemesis performs the same functionality as Genesis but with networking equipment which is a growing market with the increasing amounts of data on networking devices posing a security risk for organisations.

www.ultratec.co.uk/genesis

www.ultratestsolutions.com

CHARLES BLIGH, CEO, COMMENTED:

"I am delighted to welcome the team at Ultratec to the Group and we look forward to developing the business together as part of Restore Technology, our rapidly growing IT lifecycle services business.

The team at Ultratec have an excellent reputation in the sector with a specialist focus on hard drive and storage products from repair, erasure and resale. Their innovative Genesis and Nemesis technologies represent opportunities to further expand our capabilities in technology lifecycle services. I am excited about this acquisition and the opportunity it represents for our business."

For further information:

 
 Restore plc                                   www.restoreplc.com 
 Charles Bligh, CEO 
  Neil Ritchie, CFO                            +44 (0) 207 409 2420 
 
 Investec (Nominated Adviser and Joint         www.investec.com 
  Broker) 
 Carlton Nelson 
  James Rudd                                   +44 (0) 207 597 5970 
 
 Canaccord Genuity (Joint Broker, Corporate    www.canaccordgenuity.com 
  Advisor) ) 
 Max Hartley 
  Chris Robinson                               +44 (0) 207 523 8000 
 
 Citi (Joint Broker)                           www.citigroup.com 
 Stuart Field 
  Luke Spells                                  +44 (0) 207 986 4074 
 
 Buchanan Communications (PR enquiries)        www.buchanan.uk.com 
 Charles Ryland 
  Stephanie Whitmore                           +44 (0) 207 466 5000

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END

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