Recruitment firm sold in €6.8m deal

CORK-based, Berkley Recruitment has been sold in a €6.8 million deal.

British-based, The ReThink Group has acquired of Berkley Recruitment in a deal with an initial consideration of €2.65 million. However, a further €4.125m could be paid depending on Berkley’s financial performance by year end 2011.

The senior management of Berkley will have an initial aggregate 7.85% interest in ReThink, following the payment of the initial consideration. The consideration is made up of cash and shares.

Berkley managing director, Fergal Brosnan will be managing director of Europe for the Berkley Group while Stephen Greenwood will be chief executive of Asian Operations for the Rethink Group.

Chief executive of ReThink, Jon Butterfield said this acquisition marks a “significant step” in the company’s growth strategy, increasing its geographic coverage and also driving expansion into other recruitment markets.

“Berkley operates in markets that complement the existing ReThink operations and has a presence in sectors we have identified as offering exciting opportunities.

“I have known Berkley for some time and have been impressed with their professionalism and quality. I am delighted to welcome the high caliber management and employees to ReThink and confident that they will add considerably to our future growth,” he said.

Berkley, which was founded in 1995, employs 30 people in Dublin, Cork and Singapore. It specialises in recruitment in the pharmaceutical, life sciences, technology and commercial recruitment sectors.

According to its accounts for the year ended 31 December 2010 they had a turnover of €5.6 million.

ReThink have plans to expand internationally and into other sectors. It said its merger with Berkley increases both companies geographic spread and diversifies revenues.

Mr Brosnan described the deal as a “merger of people, processes and businesses”.

According to information on the ReThink Group website, under an employment agreement dated 17 June 2011 between Berkley and Mr Brosnan he receives an annual salary of €133,200 while Mr Greenwood receives an annual salary of SGD268,000 (€151,600).