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Adecco To Sell Soliant Health Unit To Olympus Partners For $612 Mln Cash

Adecco Group (AHEXY.PK,ADO.L) announced Tuesday that it has entered into a definitive agreement to sell its US healthcare staffing business, Soliant Health, to Olympus Partners for $612 million or 551 million euros in cash.

The provider of human resources solutions said the sale is part of its strategy to concentrate on globally scalable brands and digital solutions.

The transaction is subject to customary closing conditions and is expected to be completed by first quarter of 2020.

The divestment is expected to result in a gain on sale for the Adecco Group to be recognised upon closing. The company will provide an update on the use of proceeds with its fourth-quarter results in February 2020.

In the 12 months ended June 30, 2019, Soliant generated revenues of $344 million and EBITDA of approximately $54 million.

Alain Dehaze, CEO of the Adecco Group said, "Soliant is an excellent business but with limited scope to expand outside of the US market, which has unique healthcare market dynamics. In line with the Group strategy to focus on globally scalable brands and digital solutions, this divestment is an attractive way to unlock value for our shareholders."

In the deal, J.P. Morgan Securities LLC acted as exclusive financial advisor to Adecco.

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