Learning Technologies Group sells Lorien Engineering Solutions to NIRAS Group for $21.4m

Learning Technologies Group plc (LTG), a leader in digital learning and talent management, has agreed to sell Lorien Engineering Solutions to NIRAS Group, a global engineering consultancy, for $21.4 million on a cash and debt-free basis. The deal is expected to complete in January 2024, pending the satisfaction of closing conditions.

Continuation of Lorien’s Management Under New Ownership

Lorien’s management team will remain integral to the company’s leadership under NIRAS Group’s ownership, ensuring continuity and stability in operations.

Strategic Exit from Non-Core Assets

This sale marks LTG’s final step in exiting non-core assets within GP Strategies, following the disposal strategy announced in the Company’s Full Year Results for 2022. Earlier, LTG closed a UK apprenticeships business in January 2023, as part of this strategy.

Focus on Deleveraging and Core Business Growth

The divestiture will enable LTG to focus on deleveraging and reallocating capital to higher growth areas more aligned with its core digital learning and talent management business. LTG aims to leverage growth opportunities in a market worth over $100 billion by transforming and integrating GP Strategies.

Lorien’s Financial Performance

For the full year ending 31 December 2023, Lorien is expected to report $21.2 million in revenue and $4 million in EBIT.

TTi Global Staffing Business Carve-Out

In addition, LTG confirms the completion of a carve-out of the external staffing business of TTi Global, part of GP Strategies, for approximately $800,000. The contracts, which involve high-quality engineering and technical roles, were transferred to Premier Staffing Solution in October 2023. In the last twelve months, these contracts generated $14.1 million in revenue and $0.3 million in EBIT.

Statement from LTG CEO

Jonathan Satchell, CEO of Learning Technologies Group, expressed satisfaction with the sale of Lorien to NIRAS, which aligns with LTG’s focus on its core mission of corporate learning and talent development solutions. He mentioned that these transactions are vital steps in refining GP Strategies’ focus.