LHH TO BECOME THE GLOBAL BRAND FOR THE TALENT SOLUTIONS ACTIVITIES OF THE ADECCO GROUP

Highlights

• Talent Solutions to simplify its brand portfolio, moving to one global brand from nine, leveraging LHH as the worldwide lead brand for fully integrated HR services

• LHH to streamline its operating model, establishing solutions-based business lines and global centres of excellence in order to deliver a simplified and improved customer experience

• LHH to strengthen advisory capabilities through the planned acquisition of BPI Group in France

• To further sharpen the portfolio, the Group is exploring options to exit its US based Legal Solutions business

• The two potential transactions, if completed, are estimated to provide net cash in of over EUR 50 million for the Group

• All three initiatives strengthen and accelerate LHH’s leading position of fully integrated HR services

• On a proforma basis, the three actions are anticipated to be ~30 basis points accretive (a) to Group margins, supporting the Group’s ability to deliver on its 3-6% margin target commitment (b)

Alain Dehaze, CEO of Adecco Group, commented:

“Today, the Group is announcing the next step in accelerating our Future@Work strategy. With the simplification of our brand portfolio, we are positioning LHH as our worldwide lead brand for talent solutions, and in transforming its operating model, we will drive a superior customer experience. A unified and well recognised global brand will amplify growth and profitability in LHH and strengthen our leadership in the HR services market.”

He continued:

“With the planned acquisition of BPI Group in France, LHH will extend its leading market position and broaden its advisory offering. The steps announced today are in full alignment with our Future@Work strategy to truly differentiate and to invest in faster growth, higher margin segments. The group is now articulated around three distinct but connected global brands – Adecco, LHH and Modis.”