Everything Under The Sun: Vision Technology Services Becomes Part Of BG Staffing, Inc

Thursday, March 17, 2016

Vision Technology Services Becomes Part Of BG Staffing, Inc

Some VTS employees.

Located in Hunt Valley, MD, VISION TECHNOLOGY SERVICES (VTS) provides talented IT professionals and project consulting services to companies within various fields of business. They are always on the hunt for skilled and intelligent IT professionals, representing these areas of focus: business analysts, software engineers, and various types of IT support services. They strive to make the best matches between the companies requesting assistance and the consultants who work for them. The objective is to provide services and people to help make their client companies successful.

In September, BG STAFFING, INC (BGSF) acquired all of the assets of the Vision Technology group of companies. BGSF, which has its headquarters in Plano, TX, is a rapidly growing national temporary staffing agency, representing a wider variety of professions and job categories in the workforce. Acquiring VST means that their footprint within the IT field has been expanded.

The purchase price reached $20.75 million, of which $10 million was paid at the closing of the deal. The exact monetary amount was subject to working capital adjustment and earn-out payments, and depends on meeting certain conditions, over a three-year period following the acquisition. Based on preliminary unaudited data, VTS had $33.2 million in revenues.

VTS has had an excellent reputation in the local area and has provided services in the mid-Atlantic area, along with a few other markets. They have frequently been ranked by The Baltimore Business Journal among the top 50 companies in central Maryland. If you look just at IT consulting businesses, VTS has become one of the regional leaders.

L. Allen Baker, President and CEO of BGSF, stated, "The completion of the accretive Vision Technology Services acquisition in the IT segment fits perfectly into our growth and expansion plans. It will allow us to move closer to our goal of generation $100 million in revenue from the IT segment - and to enhance the cash flow portfolio we are building for our shareholders. BG currently has operations in 40 offices and 15 states. We look forward to expanding our footprint [into Maryland and the mid-Atlantic] and adding additional IT skill sets. It is our goal to accretively and meaningfully increase our adjusted EBITDA [net income with interest, taxes, depreciation, and amortization added in] annually over the next several years."

VTS employees participating in March of Dimes fundraiser.

In addition, Mr. Baker welcomed the VTS employees, staff, and customers. He assured everyone that VTS will function independently within BGSF as their own brand.