Sanne Group plc (LON:SNN), the global provider of alternative asset and corporate services, today provided a trading update for the six months ended 30 June 2022 as well as an update in relation to the recommended cash acquisition of the Group by Apex Subsidiary Limited (a subsidiary of Apex Group Limited).
Trading Update
Sanne has delivered a strong performance in the half-year to 30 June 2022 with a return to double digit organic revenue growth, record new business wins and continued strong cash generation.
Financial performance in the Half Year Period has been strong with the Group delivering revenue growth of 25.8% and profit margins within management’s expected range. This result included a sharply improved constant currency organic revenue growth rate of 11.2% as well as the benefit from the three acquisitions completed in 2021.
The first half of 2022 has also seen Sanne deliver a record level of new business wins, despite the inherent uncertainty that is created with the Group having been in an offer period for more than a year. The annualised value of new business wins in the period was up 24.8% on the same period in the prior year to £19.6 million (2021: £15.7m) and the pipeline remains healthy.
Good progress has been made integrating the three acquisitions completed in 2021. Further progress has also been made in the Group’s technology strategy, in particular developing the data analytics and portal products rolled out to clients over the last two years.
The period has also seen continued strong cash generation with operating cash conversion ahead of the 90% guidance.
Acquisition update
The Group has announced separately today that all regulatory clearances have been received in relation to the Acquisition by Apex and that the Scheme Sanction Hearing to sanction the Scheme will be held in the Royal Court of Jersey on 2 August 2022. Provided that the Court sanctions the Scheme, it is expected to become Effective on 4 August 2022.
Capitalised terms in this announcement, unless otherwise defined, have the same meaning as set out in the scheme document published by Sanne on 10 September 2021.
Martin Schnaier, CEO of Sanne Group plc, said:
“The strong performance in the first half of 2022 is testament to Sanne’s strengths and market reputation as we have seen record levels of new business wins and organic revenue growth return to our targeted double digit levels. It also reflects the qualities recognised by Apex in acquiring the Group and it should ensure that this transformational combination creates a leading, end-to-end service provider to the alternative assets market, with unmatched capabilities and scale. As we now look forward to joining Apex, we are confident in the benefits that this deal should bring for our clients and our people across the globe.”
Sanne is a leading global provider of alternative asset and corporate services. Established for over 30 years and listed on the Main Market of the London Stock Exchange and a member of the FTSE 250 index. Sanne employs around 2,500 people worldwide and administers structures and funds that have in excess of £500 billion of assets.
Key clients include alternative asset managers, financial institutions, family offices and corporates.
Sanne operates from a global network of offices located in leading financial jurisdictions, which are spread across the Americas, Europe, Africa and Asia-Pacific.
