Capita has agreed to sell York-headquartered Trustmarque to One Equity Partners for £111m on a cash free, debt free basis.
Taking into account cash-like and debt-like items, Capita expects to receive net proceeds of c.£115m at completion. An additional c.£3m is receivable by Capita contingent on certain future events.
Trustmarque provides IT services and solutions, including software and hardware re-sale, and is a top-tier partner for global technology vendors.
The net reported revenue and profit before tax for the assets subject to transaction for the year to 31 December 2020 were £122m and £16m respectively. Gross assets were £240m at 30 June 2021.
The sale is subject to certain consents.
The Trustmarque senior management team and employees will remain with the business.
Capita previously announced its intention to sell a number of non-core businesses, including Trustmarque, to strengthen the balance sheet and focus on its two core divisions, Capita Public Service and Capita Experience.
Jon Lewis, Capita’s Chief Executive Officer, said: “We are pleased to have agreed the sale of Trustmarque to One Equity Partners following a competitive sale process. I am delighted that, once this sale is completed, we will have exceeded our disposals target – and achieved this much earlier than originally planned.
“It marks another significant step towards materially reducing our debt, as we continue to simplify and strengthen Capita, and become a more successful business for the long term. We are now focused on selling the remaining businesses in our Portfolio division, with the goal of disposing of the majority by the end of 2022.”
Barclays Bank PLC, acting through its Investment Bank, is acting as sole financial advisor to Capita.
