Australia’s Easton Investments has agreed to acquire Panthercorp CST, a provider of corporate, trust and SMSF documentation across Australia.
Under the terms of the deal, Easton will purchase all of Panthercorp’s issued capital for $2.75m in cash, with 15% of the consideration being deferred for 12 months and subject to achievement of revenue targets.
Easton will also buy Panthercorp’s stake in Law Central for an additional consideration of $150,000, thus boosting its stake in Law Central to 56%.
Easton managing director Greg Hayes said: "Panthercorp is a well established and profitable business providing corporate and related documents to the accounting profession. Whilst it works in the same market segment as our existing investment in Law Central it employs a different product delivery model.
“The core product suite of both companies is similar however they both provide additional products and services not used by the other company. In additional to the increase in scale that Panthercorp delivers we also anticipate that both companies will receive synergy benefits from the extension of their respective product reach."
In addition, Easton will also sign employment and service agreements with Graeme Matcham and Brett Bowker – Panthercorp’s two largest vendor shareholders- to participate in the management of Panthercorp.
"Our ability to secure the ongoing involvement of the key management team of Graeme Matcham and Brett Bowker significantly enhances the transaction. Both are highly regarded in their market and are able to deliver consistency of operation for all Panthercorp customers, whilst leveraging the extended customer reach that Easton can bring," Hayes said.