REG-Capita PLC: Disposal

CapitaAnnouncement

19/06/2018 07:05

Capita announces the disposal of Supplier Assessment Services including
Constructionline

Capita plc (Capita) announces today that it has reached an agreement to sell
Supplier Assessment Services, including Constructionline, to funds affiliated
with Warburg Pincus.  On completion, which is expected to be early July 2018,
Capita will receive £160m in cash. The transaction is in line with Capita’s
strategy of simplifying the Company, focussing on key growth markets and
disposing of non-core businesses, as announced on 23 April 2018. Net cash
proceeds from the disposal will be used to reduce indebtedness.

Capita has successfully managed, invested in and commercialised Supplier
Assessment Services and rapidly grown the business, particularly since
acquiring Constructionline in January 2015, having previously operated it as a
concession. 

Supplier Assessment Services underlying revenue and operating profit were
£14m and £6m respectively in the year to 31 December 2017 and the business
had gross assets of £26m. Supplier Assessment Services’ results in 2018
will be reported as a business exit in non-underlying items.

Jon Lewis, Chief Executive Officer, Capita, said “This transaction marks a
further step in executing the strategy announced in April aimed at simplifying
and strengthening the business to deliver future success and contributing to
realising £300m from non-core disposals in 2018.”

Goldman Sachs International acted as sole financial advisor on the
transaction.

This announcement contains inside information.

ENDS

Notes to editors:

Supplier Assessment Services is one of the UK's largest procurement, health &
safety accreditation and supply chain management services, reducing the annual
cost for buyers and suppliers, particularly SMEs, of repeatedly providing
pre-tender information in the public and private sectors. Supplier Assessment
Services includes Constructionline, Acclaim and Safety Climate Tool.   

For further information:

Capita plc: Investor enquiries

Andrew Ripper, Head of Investor Relations
Fiona O’Nolan, Investor Relations Director
Tel: 020 7654 0220 or 020 7654 2281
IRTeam@capita.co.uk

Media enquiries:

Capita Press Office 020 7654 2399
media@capita.co.uk

Capita is a leading provider of technology enabled business services,
operating across five key markets: Software; People Solutions; Customer
Management; IT Services and Government Services. Working across the UK,
Europe, India and South Africa, we use our expertise, talent and technology to
partner with our clients to transform services and add value for all their
stakeholders. Capita is quoted on the London Stock Exchange (CPI.L). Further
information on Capita can be found at: http://www.capita.com

Goldman Sachs International, which is authorised by the Prudential Regulation
Authority and regulated by the Financial Conduct Authority and the Prudential
Regulation Authority in the UK, is acting exclusively for Capita plc and no
one else in connection with the potential sale of Supplier Assessment Services
Limited and any other matter referred to in this announcement and will not be
responsible to anyone other than Capita plc for providing the protections
afforded to clients of Goldman Sachs International, or for providing advice in
relation to the potential sale of Supplier Assessment Services Limited or any
other matter referred to in this announcement.

LEI no. CMIGEWPLHL4M7ZV0IZ88.



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