RexOnline acquires JobSearch - 11/2001

RexOnline has acquired JobSearch for an initial consideration of 150,000 with the possibility of a maximum of a further 30,000, dependent on the future performance of JobSearch. In addition, RexOnline will issue JobSearch with 20,000 RexOnline shares.

Dorian Marks, Chairman of RexOnline, commented ìThe acquisition of JobSearch corresponds perfectly with RexOnlineís existing business and enables us to reach an additional section of the market, therefore enhancing our total product offering.

JobSearch was established over four years ago and is a well known brand, with a loyal customer base consisting of agencies and companies, covering most sectors in professional recruitment. It attracts over 40,000 unique users a month and its products are recognised as being of fair value.î

ìWe are pleased to have made this acquisition in current market conditions. The events of September 11th affected our overall sales to the end of October. Even though current sales for the software division are again encouraging, we have reduced our overall cost base to reflect market conditions and have discontinued our RecruIT trade fairs, writing off the related costs.î

ìThe software division, through our subsidiary Strategies is again performing in line with internal expectations. Our online services division, which is experiencing difficult market conditions will be complemented by the acquisition of JobSearch and is now operating with a much reduced cost base. We have a strong balance sheet and the ongoing business of the Group remains profitable. We therefore believe that RexOnline is in a strong position to ride the current market difficulties and we look forward to updating shareholders on further progress when we announce our Interim Results in the New Year.î

www.rex.co.uk