OneClickHR plc

18 July 2001
OneClickHR plc ("OneClickHR")

Acquisition of Parker Technologies Ltd for a maximum of £1.5m, placing of 1.205 million new ordinary shares and dealings by a director

OneClickHR, the established designer and developer of human resources and
personnel software, today announces the acquisition of Parker Technologies Ltd ("Parker"), a developer of workplace time recording solutions based in Stoke on Trent.

OneClickHR will purchase the entire share capital of Parker. Initial cash consideration is £170,000 payable on completion with a further £150,000 in cash payable in each of the two years following completion. In addition, 275,000 share options at 35p in OneClickHR have been granted to the vendors and the vendors will benefit from a 15% profit share in the continuing business of Parker for the next three financial years up to a maximum of £1.5 million.

As part of their strategy to offer a range of HR (Human Resources) solutions and services, OneClickHR has been seeking acquisition opportunities which add value to its core business. Parker, an established provider of employee time and attendance solutions, will significantly enhance OneClickHR's range of workforce management solutions.

Parker has developed a range of time and attendance solutions, sold under the CaptureIT brand, and the Parker software already integrates with OneClickHR's best selling HR products, Personnel Manager and Personnel Director. Parker has an established customer base which includes both the private and public sectors, with clients such as Matalan and the Scottish Parliament. Parker currently sells products overseas in Holland, Australia and Canada.

Parker's existing management team will remain with the business following the acquisition. The Directors believe there is excellent synergy between the Parker range and that of OneClickHR with opportunities to offer Parker products through existing sales channels. Parker will also be able to capitalise on the production economies of scale by using OneClickHR's software development centre in India.

In the year ended 30th September 2000, Parker's turnover was £656,399 and profit before interest and taxation was £63,288. Net assets at 30th September 2000 were £129,013.

The Directors believe the acquisition of Parker, which follows on from last month's purchase of MicroSolve Training plc, will add significant value to OneClickHR's business, which continues to trade in line with market expectations.

The Company also announces that it has placed 1,205,000 new ordinary shares ("the New Shares") with institutional and other investors at 50.5p ("the Placing Price"). The Placing Price represents a discount of 7.3 per cent. to yesterday's closing middle market price of 54.5p.

The funds raised will be used for future acquisitions, additional business development and to accelerate OneClickHR's move to profitability.

Application has been made for the New Shares to be admitted to the Alternative Investment Market of the London Stock Exchange. Admission is expected to take place on 25 July 2001. The New Shares will be identical in all respects to the Company's existing ordinary shares.

In addition, the Company was informed today that Lord Sheppard of Didgemere, Non-Executive Chairman of OneClickHR, has subscribed for 100,000 of the New Shares at the Placing Price. Following such subscription, Lord Sheppard has an interest in 2,000,000 Ordinary Shares, representing 3.8 per cent. of the Company's issued ordinary share capital as enlarged by the issue of the New Shares.

Commenting on the acquisition of Parker, Lord Sheppard of Didgemere said:

"The Parker acquisition provides us with the opportunity to enlarge significantly the range of HR based products which we offer. We believe there are significant opportunities as both businesses have unexploited potential and we expect Parker to grow rapidly within the Group. The Parker management team, who are staying with the business, bring additional product development skills in the specialist area of real-time workplace employee time tracking. Already profitable, we plan to build on the success of Parker and to exploit the recurring revenue potential of the business, both in the UK and overseas."

For further information please contact:

OneClickHR
Frank Beechinor, Managing Director Tel: 020 8663 1330
Angus Dent, Finance Director

Buchanan Communications
Tim Anderson Tel: 020 7466 5000

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