AD1 Holdings (ASX:AD1) to purchase Art of Mentoring for $1.5M

• Recruitment tech company AD1 Holdings (AD1) will purchase mentoring program provider Art of Mentoring (AoM) for $1.5 million
• AoM works with clients to develop and monitor mentoring programs for their business
• Under the deal, AD1 will pay $1 million in cash upfront and a further $500,000 worth of shares
• The acquisition is expected to provide significant benefits to the company, which includes an annual recurring revenue stream of approximately $1 million
• On market close AD1 is down 4.76 per cent and is trading for six cents per share

Recruitment tech company AD1 Holdings (AD1) will purchase mentoring program provider Art of Mentoring (AoM) for $1.5 million.

AoM works with clients to develop and monitor mentoring programs for their business.

The acquisition is expected to provide significant benefits to the company, which includes an annual recurring revenue stream of approximately $1 million.

Under the deal, AD1 will pay $1 million in cash upfront and a further $500,000 worth of shares.

The AoM division will be led by Founder and Managing Director Melissa Richardson. She has over 20 years of experience and has helped build some of Australia’s largest mentoring programs across a wide range of industries.

“We are excited to join the AD1 group, which will allow us to accelerate our growth and make high quality, effective mentoring available to more people,” Melissa told the market.

“We are proud of what we have achieved so far and look forward to leveraging the synergies across the group. AD1 is a perfect strategic fit for us,” she added.

AD1 CEO, Prashant Chandra, says this is a big milestone for the company.

“AoM is a compelling strategic fit for the company with a cutting-edge SaaS product, a diversified recurring revenue stream and strong growth prospects. Our complimentary customer base will enable the company to expand its footprint within both the government and professional association sectors,” he said.

“We are impressed with what AoM has accomplished so far and look forward to welcoming Melissa and her team to the AD1 group,” he added.

On market close, AD1 is down 4.76 per cent and is trading for six cents per share.