Lorien buy takes P-E out of Cray

Lorien, the Alternative Investment Market-quoted IT recruitment consultancy, has acquired P-E International for #11m cash. Lorien has funded the purchase through a #14.6m rights issue, most of which was placed with institutions.

Lorien chairman Michael Heeley said that the deal was “a major step towards achieving Lorien’s strategy” of becoming an integrated human resources consultancy.

The deal brings to an end a troubled relationship between P-E and the Cray group, which bought the former for #16.25m in 1993. While Cray exerted minimal influence over P-E’s consulting business, much of P-E’s IT consulting and training division was taken in-house. Last September Cray closed Aims, P-E’s SSADM training and consultancy arm, and the IT Management Programme was later sold to its managers.

While P-E made a positive contribution to Cray’s figures, the group posted a pre-tax loss of #19.4m.