Restore snaps up records management firm

AIM-listed support services firm Restore announced a placing to raise up to seven million pounds to fund the purchase of File & Data Storage, a records management services company in the UK.

AIM-listed support services firm Restore announced a placing to raise up to seven million pounds to fund the purchase of File & Data Storage, a records management services company in the UK.

The acquisition of File & Data is worth an initial consideration of £6.1m but includes a cash earn-out capped at £150,000 subject to the its financial performance.

"The acquisition of File & Data will further strengthen Restore's position as one of the UK's leading providers of records management services and brings the benefit of some strong and long-standing customer relationships," Restore said in a statement.

It plans to place up to 6,558,559 new ordinary shares at 111p each, raising up to £7.0m after expenses.

"Restore has been active in consolidating the UK records management market since 2010 to become what we believe is now the second largest provider of records management services in the UK," said Chief Executive Charles Skinner.

"File & Data has a strong national presence and some excellent customer relationships and its acquisition will further enhance our platform for growth. The Board looks forward to the contribution to the Group that File & Data will make."

Shares were 5.63% higher at 122p by Wednesday afternoon.

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