WiseTech Global (ASX:WTC) update on acquisition earnout arrangements

Company News

by Rachael Jones

WiseTech Global (ASX:WTC) today announced it has renegotiated earnout arrangements for a number of its strategic acquisitions.

The new arrangements with 17 of the acquired businesses will require equity issuance of $81.4 million, of which $45.7 million remains escrowed for 12 months.

Their priority across strategic acquisitions is to accelerate CargoWise platform expansion and development, tighten focus and better align those resources into their core CargoWise operations.

There will be a reduction in contingent liabilities from $215.5 million to $68.5 million and the removal of $151.5 million of future contingent cash liabilities.

Shares in WiseTech Global (ASX:WTC) are trading 2.6 per cent lower at $21.76.
 

Rachael Jones

Finance News Network
Rachael comes to FNN after working for Fairfax Media covering international breaking news, including the global economy and politics. She joined FNN in February 2018. She has reported on Australia’s finance news for various organisations since 2000 and has also interviewed a number of key business players, including Bill Gates. Rachael has also worked across a number of countries, including the UK and the US.