K3 Capital Group PLC (AIM:K3C) agreed to acquire Knight Corporate Finance for £8.6 million on July 7, 2021. In a related transaction, K3 Capital Group PLC agreed to acquire Knight Corporate Finance Group Limited for £8.6 million on July 7, 2021. Total consideration of up to £16.3 million, comprising: Initial consideration of £3.3 million on a debt free, cash free basis (to be satisfied as to £2.2 million in cash and £1.1 million by the issue of new Ordinary Shares at the Placing Price ("KRD Consideration Shares"); Deferred consideration expected to be approximately £1.1 million (capped at £2.25 million) payable as to 60% cash and 40% new Ordinary Shares for the financial year ending May 31, 2022, 70% cash and 30% new Ordinary shares for the financial year ending May 31, 2023, 80% cash and 20% new Ordinary shares for the financial year ending May 31, 2024, 90% cash and 10% new Ordinary shares for the financial year ending May 31, 2025, in each case contingent upon the future EBITDA performance. Further earn-out equal to three times the EBITDA of Knight Transaction Services Limited, a subsidiary of Knight Corporate Finance , for the financial year ending May 31, 2026 (capped at £3.0 million). The proceeds of the Placing will be used in part to fund the Acquisition and to satisfy an element of fees payable in relation to the Placing and the Acquisition. Knight Corporate Finance reported Revenue for £1.71 million, EBITDA of £0.78 million, gross assets of £0.57 million and profit before tax of £0.83 million March 31, 2021. The acquisition is conditional upon but will complete immediately prior to Admission of K3 Capital Group. The acquisition is expected to be immediately earnings enhancing. Jonny Franklin-Adams, Charlie Beeson, George Dollemore, Tim Redfern and Richard Chambers of FinnCap Ltd acted as nominated advisor to K3 Capital Group PLC.