PeopleIn (ASX:PPE) to acquire FIP for $45m

PeopleIn (ASX:PPE) is set to acquire workforce solutions business FIP (Food Industry People) for an upfront consideration of $45 million.

FIP provides staff to the food sector in Australia, employing workers under the PALM scheme. Workers are employed on a fixed term basis for the duration of their visas, and are assigned directly to a host employer.

PeopleIn said the acquisition increases its participation in the food sector and cements its position as the largest ASX-listed recruitment and staffing company in Australia.

“PeopleIN has acquired an at-scale international recruitment engine room to be leveraged by our defensive growth sectors, including food services, healthcare and aged care,” said chief executive officer Ross Thompson.

“Our investment via the PALM Scheme will help solve the significant employee shortages faced by our clients, and the broader market, by bringing in workforces at scale.”

The transaction is subject to conditions and is expected to complete by mid June.

Shares in PeopleIn (ASX:PPE) last traded at $3.19.