23rd Jul 2025 13:25
(Alliance News) - CPPGroup PLC on Wednesday said it has agreed to sell its business in India for around USD21.0 million.
The Leeds, England-based provider of digital financial services said the disposal will mark its final exit from legacy operations, shifting focus solely on Blink, CPPGroup's "insurtech" offering.
CPP Assistance Services Private Ltd, or CPP India, will be purchased by OneAssist Consumer Solutions Private Ltd and Bolttech Device Protection India Private Ltd, which share a head office in Mumbai.
Of the USD21.0 million cash consideration, USD15.8 million is to be paid upon completion of the sale, with the remaining 25% to be split into equal instalments six and 12 months post-completion.
CPPGroup said around GBP2 million in tax will be withheld by the buyers, as per Indian exchange laws. Disposal costs are estimated at GBP900,000.
According to CPPGroup, its Indian business is reliant on a single partner for most of its revenue and requires capital to maintain value, which the firm would rather spend on Blink. The "insurtech" platform focuses on travel disruption and cybersecurity, generating revenue on an annual recurring basis.
In 2024, Blink posted ARR of GBP1.6 million, contributing 1% of full-year revenue. The Indian business accounted for 94% or GBP145.4 million of group revenue, which totalled GBP156.4 million, while CPP Turkey contributed 5%.
CPP Sigorta Aracilik Hizmetleri Anonim Sirketi, or CPP Turkey, was sold for GBP4.6 million in June. The Turkish business was purchased by Mehrwerk GmbH, a private company based in Bielefeld, Germany, which has agreed to distribute Blink's cybersecurity product.
Proceeds from both disposals will be used to invest in Blink, and to repay a loan from Barclays PLC. CPPGroup also plans to launch a cost cutting scheme, which will be detailed in the firm's half-year report, due at the end of September.
CPPGroup shares were up 17% at 150.50 pence on Wednesday afternoon in London. The stock has fallen 8.0% over the past 12 months.
By Holly Munks, Alliance News reporter
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