Electronic-learning company ThirdForce yesterday cemented its US expansion plans with shareholder approval for its $18 million (€13.4 million) acquisition of rival MindLeaders.com.
Addressing a handful of shareholders at the group's extraordinary meeting in Dublin yesterday, chief executive Brendan O'Sullivan described the acquisition as a "great opportunity" for ThirdForce, saying that not only did it facilitate expansion into the world's biggest market, but it also created a raft of cross-selling opportunities.
Following the approval, Ohio-based MindLeaders, which employs 104 people, will be integrated into ThirdForce.
Combined, the two groups will have revenue of more than €30 million.
As well as continuing the sale of MindLeaders' own products in the US, Mr O'Sullivan said ThirdForce would be looking to sell its own training courses and programmes in the US.
The market for self-paced e-learning products and services in the US is estimated to be growing by more than 30 per cent a year.
The company will also seek to introduce MindLeaders' products into Europe, he said.
Mr O'Sullivan is hoping that the acquisition will help diversify the group's business geographically.
Dublin-based ThirdForce, which licenses internet-based learning software and programmes to companies across a range of industries, currently derives more than three-quarters of its business from the UK, where it has benefited from the significant emphasis placed by the British government on the need for continued learning.
It has also won contracts with companies such as oil giant BP to provide food safety-related online training for its staff. Mr O'Sullivan hopes to roll out these programmes in Ireland towards the end of the year.
The $18 million acquisition is being funded half through cash and half through shares. ThirdForce said yesterday that, following the oversubscription of the initial fundraising, it had decided to increase the value of new shares issued to €15 million.
The stock is listed on the IEX in Dublin and on London's AIM.
