Konekt Limited (ASX: KKT), Australia’s largest private sector return to work provider, has announced it has agreed to acquire the NSW regional-based Insight Services Group, a rehabilitation return to work services provider.
The acquisition is part of Konekt’s strategic expansion focus, and follows Konekt’s recent announcement that it is acquiring two South Australian businesses – Applied Innovative Services (AIS) and Innovative Training and Recruitment (ITR), and Insite Injury Management Group (Insite).
“We continue to focus on organic growth and review acquisition opportunities that will strengthen Konekt’s position and value for customers, staff and shareholders,” says Konekt Chief Executive, Damian Banks.
“As with the South Australian businesses, Insight Services Group (Insight) both complements our existing operations and aligns with our strategic direction. There are many synergies. Like Konekt, Insight is a well-established, Australian based business with a strong brand and well forged local presence.
“This proposed acquisition will enable additional growth opportunities in key market segments, servicing local, state wide and national customers, and it will enable Konekt to deliver enhanced services for customers. It also further bolsters our position as the largest and highest quality provider in Australia. Together these three acquisitions are expected to contribute additional revenues of more than $4.5 million to Konekt in FY16.
Established in 2002 by owner Greg Barton, Insight provides return to work, injury prevention, hearing testing, training and ergonomics solutions. It has a strong presence in regional NSW and the ACT, with its head office located in Orange, NSW and further offices in the Central & Far West of NSW, the Riverina, South Coast, New England and the ACT, in addition to metropolitan Sydney.
“The merged business will particularly allow us to strengthen our presence in some important regional centres,” says Damian. “In addition, Insight has complementary service offerings that will sit perfectly within Konekt.”
Insight’s rehabilitation division is the only return to work provider with a specialist psychological team based in regional NSW. In addition to providing highly effective rehabilitation of psychological injury cases, Insight is able to provide independent psychological treatment through the Insight Health division.
“Regional NSW has been served by Insight for over 13 years, and we have a proud record of achievement servicing insurance and government sectors, together with large and small local businesses,” says Greg Barton. “The power of partnering our unique geography with Konekt’s customers was compelling. As part of the Konekt Group we will be able to deliver our customers a wider range of services in our local markets. I am looking forward to growing the combined business.”