Taranata in acquisition talks as revenue rises
Paul Atkinson: ‘Well placed to drive forward our ambition’ (pic: Terry Murden)
Taranata Group, the recruitment business, is in talks with potential acquisition targets as it builds on a first year turnover 39% higher than the combined revenue of its constituent companies a year earlier.
The combined group comprises Head Resourcing, Head Medical, Change Recruitment and Atkinson Macleod Executive Search.
It was formed last year by recruitment entrepreneur and investor, Paul Atkinson, who said: “After almost a year of structuring and ‘whitespace’ review, we are now well placed to drive forward our ambition of £100m turnover by 2020 through a mix of acquisition, growth and innovation.
“We are currently in discussion with a number of potential acquisition targets and have plans to launch new service lines of our own.”
Turnover of £62m for 2017 compared to a combined turnover of £44.6m for the group companies operating in the previous year.
Gross profit has increased by a greater margin, with an uplift of 67%, from £5.1m to £8.5m. Releasing Change Recruitment from legacy high infrastructure costs allowed a return to profit immediately post-acquisition.
Callum Lyle, chief operating officer, said: “Every one of our businesses has performed beyond expectation. Over a year of transformation, our leadership team retained their focus and delivered healthy growth for their businesses – particularly at Head Medical and Head Resourcing, which accounts for the largest share of the uplift.
“The acquisition of Change Recruitment this year was the catalyst for the realisation of a long-held ambition, namely to bring all our recruitment interests together and form an overarching group that would drive further growth of the combined assets.”
In the last year, group businesses have launched new service lines, sector offerings and expanded into new geographic locations.
Head Resourcing opened a new Manchester office to capitalise on a thriving market in the north-west of England, and it brought to market Head Contractor Solutions, a new one-stop service for pre-engagement vetting, on-boarding and consultancy services.
Change Recruitment launched a construction division and Head Medical won several new commissions, most recently securing a significant contract to provide overseas GPs to NHS England.
Staff numbers have grown by 10% to 150 over the year, and in March the Group appointed Simone Lockhart as director of strategic development, to drive group strategy. This includes M&A activity.