Milamber Ventures Plc - Acquisition

Milamber Ventures Plc - Acquisition

PR Newswire

London, February 4

4 February 2019

Milamber Ventures Plc
("Milamber")

Acquisition

Milamber Ventures plc (NEX: MLVP) is delighted to announce that it has completed the acquisition of Astara Training Limited ("Astara") which was incorporated on 26 June 2013 by Victoria Smith who will remain with the company as Chief Learning Officer.

Milamber has acquired 100% of Astara's equity paid for £16,666, comprising 185,178 Milamber Ordinary Shares, issued at 9 pence per share. The shares have been issued to the two Directors of Astara, Victoria Smith and Dave Henderson, and are covered by a two-year lock in agreement. Milamber will also provide loans to Astara totalling £50,000 to cover various working capital obligations.

Andy Hasoon, Executive Chairman of Milamber commented, "We are delighted to have acquired Astara and welcome Victoria and Dave to the Milamber Education team, which is led by Rachael Cartwright."

ABOUT ASTARA

Astara was set up to provide training services and is on the UK Government Register of Learning Providers (UKPRN: 10042141) as a RoATP Prime Training Provider which means that it can deliver Apprenticeship Levy training services and is registered as a Social Enterprise Certified Member (number: 7693). Astara has a clear focus to provide opportunities for learners rather than generate pure profit. However, Astara has been profitable for the previous three years and has demonstrated year on year organic growth, as shown below:

In late 2018, funding ceased for Astara's main training activities and the decision was taken to cease trading and close the company. Milamber's acquisition of Astara as a viable "shell" comes while the company is still active and with the ability to begin generating new revenues based on Astara's existing licences, which remain active, with Victoria Smith and support staff remaining in place.

Astara was inspected in April 2018 by the ESFA and rated as a Grade A provider and its Financial Health, as classified by the ESFA, is "Good". Historically, the company has provided the bulk of its training services to HM Prisons. In 2018 Astara secured registration on the Ministry of Justice (MOJ) dynamic purchasing system, one of just 152 companies. This is in readiness for the new HM Prison Governors education contracting process which begins in April 2019. The company has delivered training to circa 40 Prisons historically and is also approved for DWP and NHS training delivery.

Astara uses freelance Assessors for delivery of courses which include: Teacher Training; Spectator Safety level 2 & 3; Leadership and Management levels 3, 5, & 7, (BTEC and NVQ); Business Administration; Customer Service; Team Leading; Learning & Development and various others.

Astara has Direct Claim Status with Pearson, can qualify Assessors, IQAs, and Managers up to level 7 and is a Platinum Partner with the YMCA which effectively gives the company Direct Claims Status across all YMCA awards. Some of the delivery via the YMCA Training Provider status includes Personal Wellbeing; Fitness and Physical Activity; Lifestyle Management; Instructing Exercise and Fitness (Certificate & Diploma); Personal Trainer; Assessor Awards; Education and Training and others on an ad hoc basis. Astara has an Adult Education Budget contract at this time with New College Swindon for £150,000 from 1 August 2018 to 31 July 2019, and talks are underway to recommence activities under this contract.

-ends-

ENQUIRIES:

Milamber Ventures Plc
Andy Hasoon
T: 07768 875 681
E: [e-mail]
www.milamber.co.uk

First Sentinel Corporate Finance Limited (NEX Exchange Corporate Adviser)
Brian Stockbridge
T: 020 7469 0930

Leander (Financial PR)
Christian Taylor-Wilkinson
T: 07795 168 157
E: [e-mail]