Mishcon de Reya advised the shareholders of QuantTech staffing business Henlow Recruitment Group on the acquisition by nGAGE Specialist Recruitment, one of the largest privately owned UK groups in the sector.
Henlow joint CEO’s, Matthew and Andrew Clarke commented: "This is an exciting time for everyone who works at Henlow and this development will provide significant capital for international expansion of our business and opportunities for everyone who works with us. The Mishcon de Reya team was superb in supporting us on this transaction and brought an invaluable legal and commercial understanding and experience of the recruitment services sector while maintaining a strong focus on our interests and objectives as founders of the business. "
Henlow, launched in 2013, have grown the business to over 50 people operating in the UK, Europe, USA and Middle East and nGAGE's acquisition will enable them to accelerate their growth whilst retaining their autonomy and the strong brand they have developed. Over the past 5 years, nGAGE has set a trend of investment in businesses in the STEM sector which now accounts for about 40% of their business. For this reason, their acquisition of Henlow, due to its international operations, aligns perfectly with their strategy of international growth in STEM.
Head of Corporate and the Recruitment Services Group Nick Davis led the Mishcon de Reya team advising and supporting Henlow in preparation for and in the sale itself, with assistance from Corporate Tax Partner Gary Richards, Recruitment Regulatory Consultant Bridget Wood, Corporate Managing Associate James Spencer, Corporate Associate Emma Miller, Employment Incentives Associate Caroline Nye-Wilkins, Employment Associate Kirti Tiwari-Mehta and Corporate Trainee Solicitor Alex Bromley-Martin.
Nick Davis added: "We are looking forward to witnessing the growth of Henlow globally and celebrate their future successes. The founders have built a fantastic business and they now have a great partner to support them in their ambitions.
Despite the shadow of the global economy and the uncertainties surrounding Brexit, the M&A activity in the UK recruitment services sector is not slowing down. This year we have seen a mixture of private equity and trade transactions, growing cross-border activity and a surge of activity in areas where we are expecting to see skills shortage in the UK, such as in IT, data and cyber, healthcare and engineering."
In recent months, Mishcon de Reya has strengthened its position as the leading law firm operating in the recruitment services sector and has acted on a number of publically disclosed transactions, including advising the shareholders of Henderson Scott on the sale to Search Consultancy; the shareholders of Allen Lane on the sale to Outsourcing Inc.; Staffing 360 Solutions on the acquisition of Clement May; the management team of TMP Holdings on its sale to TrueBlue; Belcan International on the acquisition of Omega Engineering Services and the co-founder of Empiric Solutions on the sale of the recruitment agency Empiric.