19 November 2024
SysGroup
plc
("SysGroup", the
"Group", or the
"Company")
Acquisition & Notice of
Results
SysGroup plc (AIM:SYS), the
technology partner for delivery and management of cloud, data, and
security services to power Artificial Intelligence ("AI") and
Machine Learning ("ML") transformation, today announces its
acquisition of the trade and assets of Crossword Consulting Limited
("CCL"), the consulting arm of Crossword Cybersecurity
plc.
Acquisition
The Group is pleased to announce the
acquisition of the trade and assets of CCL for cash consideration
of £311,000, with a potential post conditional payment of
£127,000. Based in London, CCL is a
recognised leader in cybersecurity consulting, offering specialised
services such as virtual CISO ("vCISO") support and Penetration
Testing to medium and large enterprises.
This acquisition strengthens our
capabilities with the addition of 12 seasoned cybersecurity
consultants, who will expand SysGroup's customer offerings in
cybersecurity and compliance. For the 12 months ending 30 September
2024, CCL delivered unaudited revenues of circa £2.4 million with
more than 75% of revenues recurring. Additionally, CCL brings a
diverse client base of customers, including FTSE 100, FTSE 250, and
S&P-listed companies, which presents new cross-sell
opportunities across multiple sectors.
Notice of results
SysGroup expects to publish its half
year results for the six-month period ended 30 September 2024 on 3
December 2024.
Heejae Chae, Executive Chairman
commented:
"This acquisition strengthens our
strategy to become the partner of choice in our customers' AI
journey and digital transformation by enhancing our cybersecurity
capabilities and expanding into Compliance as a Service ("CaaS").
Crossword Consulting's expertise ensures that we can secure
critical infrastructure, data, and processes - essential components
for the successful adoption and scaling of AI. Their services,
including Cyber Maturity Assessments and vCISO solutions, provide
the compliance and risk mitigation needed to build trust in
data-driven systems. By integrating these capabilities, we position
ourselves to deliver comprehensive, secure, and innovative
solutions that empower our customers to confidently embrace AI and
drive their transformation agendas.
We are confident in our strategy and
the progress achieved over the past months following our equity
raise in June 2024. Our strong balance sheet positions us to
effectively pursue strategic acquisitions such as CCL. Based
on our current recurring revenue, the Board has good visibility
that revenue levels will remain consistent with the prior year.
Additionally, we are actively engaged in discussions regarding a
number of high-potential contracts with both new and existing
customers, which could unlock significant growth opportunities and
drive revenue beyond our recurring base."
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For
further information, please contact:
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SysGroup plc
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Tel: 0333 101 9000
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Heejae Chae, Executive
Chairman
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Owen Phillips, Chief Financial
Officer
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Zeus (Nominated Adviser and
Broker)
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Tel: 0161 831 1512
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Jordan Warburton
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Nick Cowles
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Alex Campbell-Harris
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Nick Searle
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About SysGroup
SysGroup plc is a managed service
provider of end-to-end data solutions enabling us to take our
customers on their AI data journey. The Group offers an integrated
set of modern technologies that collectively meets our customers
end-to-end data needs including connectivity, cloud hosting,
delivery, analytics and governance of customer data, as well as a
security layer for users and applications.
The Group has offices in Manchester,
Edinburgh, London, and Newport.
For more information, visit
http://www.sysgroup.com