Admerex (ASX:ADL) a provider of credit and receivables management systems today announced the acquisition of Riscuity Asia Inc's ("Riscuity") call centre operations in Manila, Philippines.
The acquisition significantly expands Admerex's position in the Receivables Management market.
Riscuity is a privately held Philippine-based provider of call centre operations for receivables management and recoveries for US based clients and portfolio purchasers. Riscuity has been in operation for over five years and in that time has developed significant experience as an offshore collection centre.
Under the terms of the transaction Admerex will acquire the business, staff and assets of Riscuity all of which will be incorporated into Admerex's existing Philippine subsidiary, Admerex Solutions. The acquisition will see 10 per cent of the shares in the subsidiary transferred to the vendors and suitable incentive arrangements will be put in place to ensure continuity of existing business relationships as well as to assist in developing the business further.
The acquisition is subject to final documentation expected by 31 January 2007.
Mr Kim Goodall, Executive Chairman of Admerex stated: "The acquisition of Riscuity's business enhances Admerex Group's comprehensive suite of products and services and will provide new business opportunities going forward. We believe the Philippines is better equipped with infrastructure and human resources to offer outsourcing opportunities than other offshore operations."
The acquisition adds a further 80 staff to Admerex's already expanding staff numbers and worldwide office network which will greatly enhance the group's ability to satisfy our growing client base and needs.
Admerex estimates that this acquisition will contribute positively in the period to 31 December 2007 with strong future potential for increasing benefits and profits as the facility consolidates its existing business relationships and expands into new business lines.