On Assignment Expands within Core Segments with Acquisition of The Cambridge Group

CALABASAS, Calif., Apr 19, 2010 (BUSINESS WIRE) --On Assignment, Inc. (NASDAQ: ASGN) announced today the acquisition of The Cambridge Group Ltd., a privately owned, provider of specialized staffing in Physician, Clinical/Scientific, and Information Technology (IT).

The consideration for the transaction is $5.5 million in cash and a two year earn-out provision. The cash portion of the purchase price was funded from cash on hand at On Assignment. The Cambridge Group is headquartered in Connecticut with one branch office in Philadelphia, Pa. Mike Salvagno, founder of The Cambridge Group, will remain with On Assignment as Vice President, Clinical Research.

"This acquisition strengthens our presence in core segments of our business and is expansive to our gross margin," stated Peter Dameris, President and CEO of On Assignment.

Dameris continued, "Cambridge is a 35 year old firm that had approximately $11 million in revenues and 37% gross margins in fiscal year 2009. The IT division of Cambridge contributed approximately 24% of total 2009 revenues, with the Life Science and Physician divisions contributing approximately 73% and 3% respectively. The acquisition should be accretive to On Assignment's net income in 2010. Management will share more details regarding the acquisition during its quarterly earnings conference call scheduled for April 29, 2010."

Dameris concluded, "We view this acquisition as an opportunity to expand in some of our fastest growing end markets with very little execution risk. We welcome the entire team at The Cambridge Group to the On Assignment family and look forward to a successful future together."

Lyons Solutions, LLC initiated and structured this transaction, conducted the negotiations, and acted as exclusive financial advisor to The Cambridge Group, LTD