18th Jun 2025 12:28
(Alliance News) - CPPGroup PLC on Wednesday said it has completed the sale of its business in Turkey and is "advanced discussions" to do the same in India, after the Leeds, England-based company decided to focus solely on its Blink 'insurtech' division.
CPPGroup shares were up 44% to 117.40 pence midday Wednesday in London. The stock remains down 29% over the past 12 months, however.
CPPGroup said it has completed the disposal of Istanbul-based subsidiary CPP Sigorta Aracilik Hizmetleri Anonim Sirketi for about GBP4.6 million in cash. The buyer is Mehrwerk GmbH, a Bielefeld, Germany-based private company, which also has agreed a license to distribute Blink's cyber security product. This is expected bring in an additional GBP1.5 million to CPPGroup over the three-year licence term.
CPPGroup also is in talks to sell CPP Assistance Services Private Ltd in India, though it didn't name the potential buyer.
"Maintaining a mixed portfolio structure risks ongoing value erosion and limits the group's ability to invest in its most strategically important asset, Blink," the company explained.
CPPGroup said it doesn't expect to return any of the proceeds of the disposals to shareholders, but will retain the money to repay debt and invest in the Blink business. The company had net funds of GBP6.5 million on May 30.
If a sale in India is agreed, CPPGroup will call a shareholders meeting to approve it. It expects to release its interim results at the end of September.
By Tom Waite, Alliance News editor
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