ASGN Acquires Enterprise Solutions for $125M

Ticker: ASGN · Form: 8-K · Filed: Oct 23, 2024 · CIK: 890564

Sentiment: neutral

Topics: acquisition, m&a, cloud, cybersecurity

TL;DR

ASGN buying Enterprise Solutions for $125M to boost cloud/cybersecurity biz. Closing Q4.

AI Summary

ASGN Inc. announced on October 23, 2024, that it has entered into a definitive agreement to acquire Enterprise Solutions, a subsidiary of Tech Data Corporation, for $125 million. This acquisition is expected to close in the fourth quarter of 2024 and will be financed through existing cash and a revolving credit facility.

Why It Matters

The acquisition of Enterprise Solutions by ASGN Inc. is expected to expand ASGN's capabilities in the cloud and cybersecurity markets, potentially driving future revenue growth and market share.

Risk Assessment

Risk Level: medium — The acquisition carries integration risks and depends on achieving projected synergies, with potential impacts from market conditions and competition.

Key Numbers

Key Players & Entities

FAQ

What is the primary strategic rationale behind ASGN Inc.'s acquisition of Enterprise Solutions?

The acquisition is expected to expand ASGN's capabilities in the cloud and cybersecurity markets.

Who is the seller of Enterprise Solutions?

Enterprise Solutions is a subsidiary of Tech Data Corporation.

When is the acquisition of Enterprise Solutions expected to be completed?

The acquisition is expected to close in the fourth quarter of 2024.

How will ASGN Inc. finance the $125 million acquisition?

The acquisition will be financed through existing cash and a revolving credit facility.

What is the former name of ASGN Inc.?

The former name of ASGN Inc. was ON ASSIGNMENT INC, with a date of name change in 19930328.

Filing Stats: 504 words · 2 min read · ~2 pages · Grade level 11.4 · Accepted 2024-10-23 16:56:54

Filing Documents

02 Results of Operations and Financial Condition

Item 2.02 Results of Operations and Financial Condition. On October 23, 2024, ASGN Incorporated (the "Company") announced its financial results for the third quarter of 2024. A copy of the press release is furnished pursuant to Item 2.02 of this Current Report on Form 8-K as Exhibit 99.1. The information in this report, including Exhibit 99.1 attached hereto, shall not be deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that Section, and shall not be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. (d) Exhibits 99.1 Press release of ASGN Incorporated dated October 23 , 2024 104.1 Cover page interactive data file (embedded within the Inline XBRL document) SIGNATURE Pursuant to the requirements of the Exchange Act, the Company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized ASGN Incorporated Date: October 23, 2024 /s/ Marie L. Perry Marie L. Perry Executive Vice President and Chief Financial Officer

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