23rd May 2025 09:30
(Alliance News) - Totally PLC on Friday said a sale of its subsidiaries was "the only realistic route for the group", as it updated on its ongoing strategic review and warned there would be no shareholder returns on any disposals made.
In response, shares in the Derby, England-based provider of healthcare and wellbeing services across the UK and Ireland were down 74% at 0.37 pence each in London on Friday morning. The stock is down 91% in the past month alone.
The firm said it has received "a number of offers" for business subsidiaries, which it intends to consider and provide further updates "as soon as possible".
Earlier in May, Totally announced its plan to conduct a strategic review. The company had at the time lowered its forecast for the financial year that ended March 31 following a slower than expected ramp up of an NHS contract.
"The purpose of the strategic review announced in the trading update was to strengthen its balance sheet to meet the liabilities of the group over the coming months. The board has now concluded the disposals of the subsidiaries are the only realistic route for the group to fund these liabilities in the required timeframe," Totally said.
"The board expects to conclude the sale of the business or parts of the business before the group requires further funding. The potential proceeds however, in the directors opinion, are unlikely to be sufficient to meet all future liabilities meaning there could be no value in the ordinary shares of the company or any likely return to shareholders."
By Emily Parsons, Alliance News reporter
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