IN BRIEF: Redcentric to return "material proceeds" from unit disposal
Redcentric PLC - Harrogate, North Yorkshire-based IT managed services provider - Calls general meeting for May 13 for shareholders to approve a capital reduction that will allow divestment returns to shareholders. Back in October, Redcentric agreed to sell its data centre business to Stellanor Datacenters Group Ltd for a cash value of up to GBP127 million. Redcentric on Friday says the disposal is expected to complete on Wednesday next week, and it plans to return "material proceeds" to shareholders, most likely by way of an equity tender offer. Other funds will be used to pay down debt, as Redcentric focuses going forward on operating its managed services provider business. At present, distributable reserves are limited to GBP75 million. A capital reduction is a regulatory and accounting exercise that increases distributable reserves. Read More