October 13, 2015 – CDI Corp. has said that its U.K. subsidiary, CDI AndersElite, has acquired the recruitment business of London-based Ship Shape Resources, a privately held company that provides payroll solutions to the recruitment industry. Financial terms of the transaction were not disclosed. The acquisition is expected to be immediately accretive to earnings but not material to the company’s financial performance.
Founded in 2004, Ship Shape Resources has been featured in the Virgin Fastrack 100 list of fastest growing U.K. private limited companies for two consecutive years. Its proprietary SaaS cloud based platform turns end hirers, agencies, payroll companies and accountancies into a single virtual organization. The company has operating divisions in payroll, accounting and construction.
AndersElite provides permanent, contract, and retained recruiting services for professionals and clients within a number of industries, including architecture, aerospace, building services, construction, consulting engineering, facilities management, health and safety, housing, power & process, rail services, social housing, surveying, IT and town planning.
“We have a long and well-established reputation for providing the construction, civil engineering and rail sectors with high quality recruitment services,” said Simon Trippick, vice president of CDI International and managing director of CDI AndersElite. “The addition of Ship Shape’s recruitment team, client relationships, and contractor database will enhance our expertise in the construction market. We also look forward to providing CDI AndersElite skilled contract and permanent staffing solutions to Ship Shape’s clients in the residential construction sector.”
The deal follows CDI’s acquisition last week of EdgeRock Technologies LLC, a privately held, specialist IT staffing firm headquartered in Boston. Founded in 2005, EdgeRock has additional offices in Tampa and Phoenix; it provides clients with enterprise resource planning talent needed to fully optimize the value of their ERP technology investments. The acquisition provides CDI with a national platform for highly-skilled specialist IT staffing to companies like SAP, Oracle and PeopleSoft. In addition, EdgeRock has an expanding practice serving other specialized IT skill sets, including business intelligence and data analytics.
EdgeRock will become a division of CDI and continue to operate under the EdgeRock Technology Partners brand name. The current EdgeRock leadership team will continue to manage day-to-day operations of the business.
“The acquisition of EdgeRock represents an important step in our expansion of CDI capabilities to more specialized areas of IT staffing,” said Scott J. Freidheim, CDI president and CEO. “Working with EdgeRock, and leveraging their strong access to experienced talent in ERP and other specialized technology sectors, we can better meet growing demand from existing and new clients to realize greater value from their technology investments.”
This deal comes on the heels of recent M&A activity, including AMN Healthcare Services acquisition of MillicanSolutions, Options Group acquiring Whitney Correlate’s business, Heidrick & Struggles acquiring Co Company and Korn Ferry entering into a definitive agreement to acquire Hay Group.
Contributed by Dale M. Zupsansky, Managing Editor, Hunt Scanlon Media