REG - Team PLC - Acquisition of Neba Businesses

TeamAnnouncement

12/12/2023 07:00

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RNS Number : 3816W  Team PLC  12 December 2023

TEAM PLC

("TEAM", the "Company" or the "Group")

 

 Acquisition of Neba Businesses

TEAM plc (AIM: TEAM), the wealth, asset management and complementary financial
services group, is pleased to announce that it has acquired the entire issued
share capital of: -

-      Neba Financial Solutions Limited ("Neba Wealth"), a Labuan,
Malaysia regulated network of financial advisers operating in Asian, South and
Central American, African and Middle Eastern markets; and

-      Neba Financial Solutions Private Limited ("Neba Singapore") which
promotes structured funds to IFAs primarily in Dubai and Singapore

(together "Neba") from the 100% shareholder, John Beverley, for a total
initial  consideration of £1.181 million to be satisfied by the issue by the
Company of a loan note which is convertible into new TEAM shares (the
"Acquisition").

 

Highlights

·   Newly created TEAM East reporting unit will comprise Neba and all the
operations of Globaleye Group ("Globaleye") which was acquired by the Company
in June 2023, creating a significant base to build a financial services
business in developing markets

·    An intention to recruit high calibre financial advisers to TEAM
East, driving growth in Assets Under Advice and inflows into TEAM Asset
Management funds and models ("TEAM AM").

 

Consideration

The initial consideration will be satisfied by the issue by the Company of a
nil coupon convertible loan note with a value of £1.1 81million, which is
convertible into 3,281,250 new ordinary shares of nil par value in TEAM
("Ordinary Shares") at the point TEAM has refreshed its authorities to issue
the required shares, which is expected to be at its forthcoming Annual General
Meeting to be held in early 2024. Subsequent deferred payments to the vendor
of £1.0 million for every £100 million which is invested into TEAM AM funds
and models arising from clients of TEAM East will be settled by the issue of
new TEAM shares at the then prevailing market price, capped at a maximum of 25
million new Ordinary Shares. All new shares to be issued to the vendor whether
on conversion of the loan note or in satisfaction of any deferred payments
will have to be held for two years from the date of issue before they may be
sold.

 

Neba Wealth - Overview

·  Operating from Labuan, Malaysia, Neba Wealth provides a regulatory and
operational structure for self-employed financial advisers

·   Neba Wealth currently provides a regulatory umbrella for 25 advisers
who are primarily based in Vietnam, China, the Philippines, Kenya and
Thailand, where they promote investment and insurance products to expatriates

·     In the year to 31 December 2022, Neba Wealth generated audited
turnover of £0.9 million and a loss of £4k.

 

Neba Singapore - Overview

·     Neba Singapore promotes funds to IFAs in Asia, South and Central
America, Africa and the Middle East

·     In the year to 31 December 2022, Neba Singapore generated unaudited
turnover of £0.1 million and a profit of £5k.

 

Acquisition Rationale

·   The acquisition of Neba is in line with TEAM's strategy to bolster the
distribution of TEAM AM funds and services to international and expatriate
clients in high growth markets

·   Combining Neba with Globaleye is a logical step for TEAM to create Team
East under John Beverley's leadership. Globaleye is headquartered in Dubai,
has a Labuan business together with offices in Abu Dhabi, Singapore and Durban
(South Africa)

·     Team East's focus will be to recruit high performing advisers, and
deepen its presence in developing markets. TEAM AM will provide TEAM East's
clients with its investment services which will grow the Group's revenues and
profits.

 

Mark Club, Chairman of TEAM, commented: "John Beverley is a successful
entrepreneur who has a disciplined approach with deep knowledge and extensive
experience of overseas financial services markets. Under John, TEAM East will
build a high-quality advisory service. I am confident that our reputation will
continue to grow which, in turn, will support John as he spearheads our next
phase through the recruitment of high calibre individuals to expand our client
base. John will become a meaningful shareholder following conversion of his
loan note aligning him with all shareholders. This is undoubtedly an exciting
next step for TEAM."

 

John Beverley, Founder and Managing Director of Neba, said: "I am delighted to
be joining and directing TEAM East. Over the past eight years, I have built
Neba Wealth and Neba Singapore into two attractive and bespoke businesses in
the international financial advisory market. Moving these two businesses into
TEAM East was not only the natural next step, but a unique opportunity to
partner with a reputable listed company as it embarks on the next stage of its
global strategy."

 

Enquiries to

 TEAM plc                                                                 +44 1534 877 210

                                                                        (https://url.avanan.click/v2/___tel:+1534877210___.YXAxZTpzaG9yZWNhcDphOm86NTBkODM5NDVhYzUyMjRjNDQwMTMyNWUyM2NkMjkwNDM6NjpiMWZkOjA1ZTQ1MjRjZmJmMjY5OGEzMjdjMjRkODA4ZDg0MTc2ZmQ1ZWM5MGU0ZDk5YTk2YTViZjQxNmYzMjFjNGZiNjA6cDpU)
 Mark Clubb, Executive Chair

 Matthew Moore, CFO and COO

 Shore Capital (Nominated Adviser and Broker to TEAM)                     +44 20 7523 8000

 Tom Griffiths, Iain Sexton, Guy Wiehahn
 Novella Communications (Financial Public Relations)                      +44 20 3151 7008

 Tim Robertson, Claire de Groot, Safia Colebrook
 Hannam & Partners (Financial Adviser to TEAM)                            +44 20 7907 8500

 Giles Fitzpatrick, Richard Clarke

www.teamplc.co.uk
(https://url.avanan.click/v2/___http:/www.teamplc.co.uk___.YXAxZTpzaG9yZWNhcDphOm86NTBkODM5NDVhYzUyMjRjNDQwMTMyNWUyM2NkMjkwNDM6NjpmMGY2OmE3NmNlYjYzYmFhYjIwYzc2ODI1ZjkwYjQxODQ1ZjgwZjRhNGNiMWM4M2IwNTQ5Y2JlZWFmMjg2OGFjZWMyNWI6cDpU)

 

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