tbc takes over webb martin

4/11/2004 9:00

Tribeca acquires Webb Martin

The directors of leading financial services education company, Tribeca Learning
Limited, are pleased to announce the acquisition of Webb Martin Pty Limited, a provider
of professional development training to the accounting sector.
Webb Martin provides tax-related training programs to more than 250 mid and top-tier
accounting firms nationally. The business is projected to derive sales revenue of
approximately $5 million during the current financial year. Its core offering is an inhouse
monthly tax workshop sold by annual subscription. Other products include a tax
accreditation education program, an online database of tax training materials and tax
consulting and advisory services.
The business, which has its head office in Victoria, has a 15-year operating history. Its
growth will be driven through geographic expansion, increasing public training offered
to smaller practices and by developing new products and services for its accounting
client base. Existing management will remain with the business for a minimum period
of three years.
The acquisition expands Tribeca’s education reach into the lucrative accounting sector,
provides access to new content, products and clients and increases the scale of the
Company’s operations. Cost and revenue synergies have been identified between
Webb Martin and Tribeca operations.
The purchase consideration consists of a guaranteed base amount and a capped
performance amount to be calculated based on Webb Martin’s financial results for fiscal
2005 and 2006. An initial amount of $4.5 million was paid on completion, including $0.9
million by way of issue of ordinary shares in Tribeca and $3.25 million by way of bank
debt.
Adam Davis, Tribeca chief executive, said: “The acquisition is expected to be strongly
earnings per share accretive. The Webb Martin business strongly complements
Tribeca’s existing continuing education products and we look forward to working with
management to capitalise on growth opportunities”.
Veronica Webb, founding director of Webb Martin, said: “Joining the Tribeca group is
an important strategic move for the company. It will allow Webb Martin to increase the
range and scale of its product offering to the accounting sector. The business has
experienced substantial growth in the last 5 years and, with the resources of Tribeca
Learning, we expect that growth to continue to increase steadily in the future.”