27th Nov 2020 09:48
(Alliance News) - Capita PLC on Friday confirmed it has entered into exclusive talks with Montagu Private Equity LLP over the potential sale of its Education Software Solutions division.
In June, the FTSE 250-listed outsourcer announced plans to sell the business as part of continuing efforts to slim down operations, stating at the time that proceeds from the disposal would be used to strengthen its balance sheet by reducing net debt and pension liabilities.
The statement by Capita on Friday comes after Bloomberg News in October said the company received lower-than-expected bids for the education software unit.
"There can be no certainty that a sale will be concluded nor any certainty over the terms of any such sale," Capita added on Friday.
Montagu is a London-based private equity firm that invests in mid-market companies of EUR200 million to EUR1 billion. It portfolio includes Paris-based Galileo Global Education, which it says it Europe's largest higher education group.
Shares in Capita were trading down 0.2% at 44.76 pence each on Friday morning in London, giving the company a market capitalisation of GBP747.1 million.
By Ife Taiwo; [email protected]
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