Struggling solution provider Ciber Inc. is selling off another of its non-strategic operations, striking a deal this week to sell its Norway business to employee recruitment services provider ManpowerGroup for $7.0 million.
Ciber disclosed the deal Wednesday in a Form 8-K filing with the U.S. Securities and Exchange Commission. The move comes less than three months after the Greenwood Village, Colo.-based company reached a similar deal to sell Ciber Netherlands, its 400-employee Dutch business, to ManpowerGroup for $25 million.
Milwaukee-based solution provider ManpowerGroup is looking to bolster its professional resourcing and project workforce solutions arm, Experis, through the acquisition of the Norway operations, officially known as Ciber Norge AS.
The acquisition, which is scheduled to close later this month, pending regulatory approval, will add 130 specialists to ManpowerGroup’s Experis business, helping the company meet a growing demand for its recruiting services that is driving its organic growth.
This acquisition also builds on Manpower's already-significant presence in Norway, which the company has had since opening its first office there in 1952.
Manpower operates its business across four brands - Manpower, Experis, ManpowerGroup Solutions and Right Management – that span thirty locations and employ more than 20,000 people in Norway.
The acquisition "continues to build on the strength of our Experis business in Norway and further accelerates our strategy to shift our business mix towards higher value and professional services," Maalfrid Brath, Managing Director ManpowerGroup Norway, said in a statement.
A spokesperson at ManpowerGroup did not return calls for additional comment by press time.
Following the acquisition, Ciber Norway will be folded into Manpower’s Experis business, a process that Ciber International said it will be involved in until the transition is complete.
"We are pleased to have found a high-quality home for our Norway business with ManpowerGroup/Experis. As a strategic buyer with local operations, we believe they will provide a seamless transition and great continuity and service to our customers and our employees," said Michael Boustridge, president and CEO of Ciber, in a statement.
Ciber reported that it would use the proceeds of the transaction as working capital to reduce its borrowings under its asset-based lending facility with Wells Fargo Bank by approximately $3 million, according to the filing with the SEC.