It's also warned that Brexit and Trump have hit its bottom line...
CPL, the publicly-quoted Irish recruitment firm with operations across the UK and continental Europe, is to expand its healthcare division in the UK with the purchase of a 91% stake in RIG Healthcare Group for £8.1m in cash.
The announcement accompanies a trading update from CPL in which it warns that its profit before tax for the financial year to the end of June will be slightly lower than current expectations due to uncertainties in the permanent employee recruitment sector caused by Brexit and Donald Trump's victory in the US.
It says these issues have had a positive impact on its temporary employment and contractor businesses though this has not been sufficient to mitigate the negative impact on profitability.
Anne Heraty, CEO of CPL said: "We are very pleased to expand our presence in the UK and welcome the highly talented professionals from RIG to CPL. The recruitment expertise and international talent pool of doctors and healthcare professionals provided by RIG brings immediate strategic value to CPL's broad portfolio of innovative workforce solutions in the healthcare sector. This acquisition also allows us enter into doctor recruitment which will deliver real value for our clients."
RIG Healthcare Group is a UK specialist healthcare recruiter that focuses in particular on supplying locum doctors and qualified medical professionals such as radiographers, occupational therapists, pharmacists and physiotherapists to the NHS. It generated earnings of £2m last year on revenues of more than £53m.