31st Oct 2016 06:37
LONDON (Alliance News) - Blue-chip outsourcer Capita PLC is planning to root out contracts where more investment or cost cutting is required as part of a strategic review of the business, the Financial Times reported.
Andy Parker, Capita's chief executive, will lead the review, and the work is due to be completed by January, when new chairman Ian Powell will take up his position.
The review, the FT said, also will reconsider Capita's current strategy of expanding through acquisitions, which has caused woe for rivals G4S PLC and Serco Group PLC in recent times, according to sources close to the board.
The move comes after Capita was forced to issue a profit warning at the end of September, blaming costs for a Transport of London contract and delays in clients awarding new work.
https://www.ft.com/content/c6f24f1e-95ec-11e6-a1dc-bdf38d484582?ftcamp=undefined
By Sam Unsted; [email protected]; @SamUAtAlliance
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