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Adecco to acquire French company Qapa

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Temporary employment giant Adecco announced on Tuesday that it had acquired French company Qapa for an initial sum of 65 million euros ($77million). As a result of the deal, the Zurich-based company is able to enhance its competitive position in the digital job market.

the adecco group
The Adecco Group, based in Zurich, Switzerland, is the world’s second largest Human Resources provider and temporary staffing firm, and a Fortune Global 500 company.

Adecco estimates that the French market for fully digitized job offers has grown eightfold in recent years to 350 million euros.

The contract provides an additional price (“earn out”) until the end of 2023 and will be paid in four installments based on turnover and profitability targets, according to a statement from the Zurich-based company.

Alain Dehaze, CEO of Adecco, views this acquisition as “an important step” in strengthening its online recruiting services. According to Adecco, the French market for fully digitized job offers has grown eightfold in the last few years to about 350 million euros.

Qapa describes itself as an automatic and completely digital matchmaking platform between candidates and recruiters for temporary positions in France in all economic sectors. The Paris-based company claims to have 4.5 million candidates registered on its website and more than 500 client companies.

Turnover: 53 million dollars.
During its fiscal year ending in June, Qapa, which has about 60 employees, generated revenues of 45 million euros ($53 million).

According to Adecco, the transaction should close at the end of the third quarter, and the economic value added (EVA) should be positive by 2023. In terms of operating margin (Ebita) from 2022, the acquisition is expected to yield “significant” synergies.

Adecco expects “a small net injection of cash” from its acquisition of the French BPI Group and the sale of its legal consulting business in the United States in early August.

As of now, this transaction has had very little impact on Adecco’s share price. The registered share was practically unchanged at 51.36 francs ($56.07) at 09:36 (-0.04%), while the benchmark SLI index was down by 0.21%.

For MetaNews.

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