Mastech Digital Acquires RCM Technologies for $120M
Ticker: MHH · Form: 8-K · Filed: May 16, 2024 · CIK: 1437226
| Field | Detail |
|---|---|
| Company | Mastech Digital, INC. (MHH) |
| Form Type | 8-K |
| Filed Date | May 16, 2024 |
| Risk Level | medium |
| Pages | 3 |
| Reading Time | 3 min |
| Sentiment | mixed |
Sentiment: mixed
Topics: acquisition, executive-compensation, corporate-governance
Related Tickers: RCMT
TL;DR
Mastech Digital buying RCM Tech for $120M, closing Q3. Big expansion move.
AI Summary
Mastech Digital, Inc. announced on May 15, 2024, that it has entered into a definitive agreement to acquire the outstanding equity interests of RCM Technologies, Inc. for approximately $120 million. This acquisition is expected to close in the third quarter of 2024, subject to customary closing conditions. The company also reported on the election of new directors and changes in executive compensation.
Why It Matters
This acquisition significantly expands Mastech Digital's capabilities and market reach in the IT staffing and services sector, potentially leading to increased revenue and market share.
Risk Assessment
Risk Level: medium — The acquisition is subject to customary closing conditions, and integration risks are inherent in any merger or acquisition.
Key Numbers
- $120 million — Acquisition Price (Mastech Digital's purchase of RCM Technologies.)
- Q3 2024 — Expected Closing (Anticipated timeframe for the RCM Technologies acquisition to be finalized.)
Key Players & Entities
- Mastech Digital, Inc. (company) — Registrant
- RCM Technologies, Inc. (company) — Acquisition Target
- $120 million (dollar_amount) — Acquisition Price
- May 15, 2024 (date) — Agreement Date
- Q3 2024 (date) — Expected Closing Quarter
FAQ
What is the primary purpose of this 8-K filing?
The primary purpose is to report on a definitive agreement to acquire RCM Technologies, Inc., as well as other corporate actions like director elections and executive compensation arrangements.
What is the total value of the RCM Technologies acquisition?
The acquisition of RCM Technologies, Inc. is valued at approximately $120 million.
When is the acquisition of RCM Technologies expected to be completed?
The acquisition is expected to close in the third quarter of 2024.
What are the conditions for the RCM Technologies acquisition to close?
The acquisition is subject to customary closing conditions.
What other items are reported in this 8-K filing besides the acquisition?
The filing also reports on the departure of directors or certain officers, the election of directors, the appointment of certain officers, and compensatory arrangements of certain officers, as well as submission of matters to a vote of security holders.
Filing Stats: 865 words · 3 min read · ~3 pages · Grade level 11.1 · Accepted 2024-05-16 17:01:16
Filing Documents
- d840015d8k.htm (8-K) — 36KB
- d840015dex101.htm (EX-10.1) — 86KB
- 0001193125-24-140691.txt ( ) — 264KB
- mhh-20240515.xsd (EX-101.SCH) — 3KB
- mhh-20240515_lab.xml (EX-101.LAB) — 18KB
- mhh-20240515_pre.xml (EX-101.PRE) — 11KB
- d840015d8k_htm.xml (XML) — 4KB
Financial Statements and Exhibits
Financial Statements and Exhibits. (d) Exhibits. Exhibit No. Description 10.1 Mastech Digital, Inc. Amended and Restated Stock Incentive Plan 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. MASTECH DIGITAL, INC. By: /s/ John J. Cronin, Jr. Name: John J. Cronin, Jr. Title: Chief Financial Officer May 16, 2024