RCS - K3 Bus Tech Grp PLC - Strategic Acquisition of IP

K3 Business TechnologyAnnouncement

27/01/2022 12:50

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RNS Number : 8837Z  K3 Business Technology Group PLC  27 January 2022

27 January 2022

AIM: KBT

K3 BUSINESS TECHNOLOGY GROUP PLC

("K3" or "the Company" or "the Group")

 

Strategic Acquisition of IP

 

K3, which provides business‐critical software solutions, with a focus on
fashion and apparel brands, is pleased to announce the acquisition of ViJi Sas
("ViJi"), an innovative software developer, with an exciting suite of products
in Sustainability. The acquisition is strategically significant, and highly
complementary to K3's refocused growth strategy and international customer
base.

 

The addition of ViJi complements K3's existing Sustainability offering. It
also aligns extremely well with the Company's ambitions in its core target
markets of fashion and apparel brands, where the traceability, transparency
and certification of supply chains are increasingly important priorities,
partly driven by emerging legislation.

 

Based in south-west France, ViJi has developed fully scalable software
solutions that support the sustainability objectives and strategies of fashion
retailers. Its products enable brands to trace and authenticate more easily
and reliably the environmental and social credentials of their supply chains.
This includes the collection, verification and renewal of supplier
certifications. The software also has a consumer-facing component, enabling
the digital communication of information on the ethical history of items,
including materials, manufacturing processes and sustainability.

 

ViJi's co-founders, Josselin Vogel and Anne-Laurence Villemonteil, and team
will join K3 upon completion of the acquisition.

 

The acquisition has been agreed for an initial cash consideration of 0.35m EUR
in the first year, with further cash consideration, capped at 0.7m EUR, due
over the next two years, dependent on the attainment of annual recurring
revenue performance targets.

 

Marco Vergani, CEO of K3 Business Technology Group plc, commented:

 

"We are delighted to be acquiring ViJi. It has developed a highly innovative
suite of products that address one of the most pressing needs for our
customers, the traceability, transparency and sustainability of their supply
chains.

 

"The fashion and apparel sector in particular is highly motivated to ensure
its goods are produced in an environmentally-sustainable and
socially-responsible way. Consumers are also demanding greater transparency,
and are increasingly favouring brands that prioritise sustainability. These
trends are being accelerated by legislation supporting carbon reduction and
increased transparency of supply chains.

 

"ViJi is highly complementary, adding strategically important intellectual
property and domain knowledge as we focus on the high-growth fashion and
apparel sector and help to transform retail for good. We are very pleased to
welcome the ViJi team to K3."

 

Josselin Vogel and Anne-Laurence Villemonteil, Co-founders of ViJi, commented:

 

"There is a large and underserved market for our truly innovative solutions.
The fashion and apparel industry - which is our specialisation - lack
effective software, and we are excited to be joining K3 with its
well-established reputation in this sector and relevant international client
base. Our products are an excellent fit and will accelerate K3's ambitions in
Sustainability."

 

Enquiries:

 

 K3 Business Technology Group plc      Marco Vergani, CEO                                       T: 0161 876 4498

                                       Rob Price, CFO
 finnCap Limited (NOMAD & Broker)      Julian Blunt/ James Thompson                             T: 020 7220 0500

                                       (Corporate Finance)

                                       Richard Chambers / Sunila de Silva (Corporate Broking)
 KTZ Communications                    Katie Tzouliadis/ Dan Mahoney                            T: 020 3178 6378

 

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