Costa Mesa, CA October 18, 2002 Professional services firm Resources Connection this week announced that had acquired The Procurement Centre (TPC), a Houston-based provider of supply chain management services to companies on a project basis.
The reported purchase price for the acquisition was approximately $9.0 million, of which $7 million was paid in cash, with the balance paid in Resources Connection common stock. Resources Connection said the purchase price may increase by up to $2.7 million in cash if TPC achieves certain operating goals over the next 12 months.
"TPC is a top-notch provider of supply chain management services," said Don Murray, chairman and CEO of Resources Connection. "Its focus on client service and on improving the overall quality of companies' procurement practices is a natural extension of Resources Connection's existing suite of professional services."
Murray said TPC will initially continue to concentrate its business in Texas and then expand into other markets served by Resources Connection.
TPC will operate as a separate subsidiary of Resources Connection and will be led by its current CEO, Tracy Stephens. TPC is projected to generate approximately $10 million of revenue in the coming year, according to Resources Connection.
Resources Connection was founded in June 1996 by a team from Deloitte & Touche, and became independent in April 1999 following a management buyout. The company went public in December 2000.