Brief: Gofore To Divest UK Subsidiary

Gofore Oyj

31/01/2020 13:05

Jan 31 (Reuters) - Gofore Oyj  GOFORE.HE :
    * REG-GOFORE PLC: GOFORE WILL DIVEST ITS UK SUBSIDIARY
    * NET SALES OF SUBSIDIARY CLEARLY WEAKENED IN 2019
    * THIS MEANS THAT BUSINESS OF SUBSIDIARY WILL BE CLOSED
    * DIVESTING OF SUBSIDIARY'S BUSINESS WILL RESULT IN
NON-RECURRING
COSTS OF APPROXIMATELY EUR 0.35 MILLION, OF WHICH A PROVISION
WILL BE RECORDED IN Q1 OF 2020.
    * SUBSIDIARY'S BUSINESS GENERATED EUR 0.33 MILLION LOSS IN
SECOND
HALF OF 2019.
    * EMPLOYEE CONSULTATION REGARDING ALL OF SUBSIDIARY'S
EMPLOYEES,
THAT WAS INITIATED ON 14 JANUARY 2020, HAS BEEN COMPLETED
    * AS A RESULT OF CONSULTATION, ALL 14 EMPLOYMENT AGREEMENTS
WILL
BE ENDED
    * COST SAVINGS OF APPROXIMATELY EUR 0.3 MILLION FROM
DIVESTING OF
SUBSIDIARY ARE EXPECTED TO BE REALIZED QUARTERLY STARTING FROM
Q2 OF CURRENT FINANCIAL YEAR.

Source text for Eikon:  ID:nGNE3b6vxT 
Further company coverage:  GOFORE.HE 

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