1st Oct 2021 08:29
(Alliance News) - Capita PLC on Friday said it has agreed to sell its Secure Solutions & Services business to NEC Software Solutions UK Ltd for GBP62 million.
The London-based outsourcing and professional services company said the sale is subject to some approvals, including customers and regulators. The sale price is on a cash-free debt-free basis. The Secure Solutions & Services unit senior management team and employees will be transferring with the business.
Secure Solutions & Services is a provider of software and managed services to the emergency services and justice sectors. The revenue and pretax profit for the business in 2020 was GBP72 million and GBP10 million, respectively. Gross assets were GBP63 million on June 30.
Earlier in 2021, Capita announced its intention to sell a number of non-core businesses which will be used to strengthen the balance sheet and address upcoming maturities.
Capita on Friday said it continues to make good progress towards its target of GBP700 million of proceeds from disposals in 2021 and the first half of 2022. Adding the expected proceeds from this disposal to the amount that Capita has already raised brings the total proceeds to GBP600 million.
"The disposal is another step towards a more focused and sustainable business for the long term," said Chief Executive Jon Lewis.
"At the same time, our Secure Solutions & Services colleagues and clients will join an established industry organisation with plans to take the business onto the next stage of its development," added Lewis.
Capita shares were trading 0.7% lower in London on Friday at 50.62 pence each.
By Evelina Grecenko; [email protected]
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