Capita plc (Capita) has today completed the sale of Capita One Limited, its standalone software business, to MRI Software, receiving net cash proceeds of approximately £180m, in line with the terms announced on 9 July 2024.
The sale of Capita One follows an evaluation of certain activities currently carried out by Capita that are not core to the Group’s future strategy. As announced on 13 June 2024 at the Group’s Capital Markets Event, standalone software activities are part of the Group’s activities that are being managed for value.
As previously outlined, the proceeds of the sale will materially strengthen the Group’s financial position while providing funding and optionality for the transformation journey. We expect the Group to have minimal net financial debt at 31 December 2024.
Adjusting for the disposal of Capita One, on a pro-forma pre-IFRS 16 basis as at 30 June 2024, Capita was in a net cash position.
Barclays Bank PLC, acting through its Investment Bank (‘Barclays’) acted as sole financial advisor and sole sponsor to Capita on the transaction.
Notes to editors:
About Capita One
Capita One is a provider of software solutions across the UK public sector, helping local authorities drive efficiency, maximise revenue collection and deliver essential public services as cost effectively as possible. Capita One primarily serves local authorities, local education authorities and housing associations, and the business operates across three sectors: revenue and benefits software, social housing management and education management software. The Capita One senior management team comprises: Jon Peart, Stuart Cheetham, Dave Smedley, Paul Millard, James Allard and Gavin Chamberlain. The Capita One senior management team will be transferring with the business.
About MRI Software
MRI Software is a leading provider of real estate software solutions that transform the way communities live, work and play. MRI Software’s open and connected, AI-first platform empowers agents, owners, operators and occupiers in commercial and residential property organizations to innovate in rapidly changing markets. MRI Software has been a trailblazer in the PropTech industry for over five decades, serving more than six million users worldwide, including social housing and the public sector. Through innovative solutions and a rich partner ecosystem, MRI Software gives real estate companies the freedom to realize their vision of building thriving communities and stronger businesses. For more information, visit https://www.mrisoftware.com/uk/
About Capita
Capita is a modern outsourcer, helping clients across the public and private sectors run complex business processes more efficiently, creating better consumer experiences. Operating across 8 countries, Capita’s 41,000 colleagues support primarily UK and European clients with people-based services underpinned by market-leading technology. We play an integral role in society - our work matters to the lives of the millions of people who rely on us every day.
Investor enquiries
Helen Parris, Director of Investor Relations
Email: IRteam@capita.co.uk
Stephanie Little
Deputy Head of Investor Relations
Email: IRteam@capita.co.uk
Media enquiries
Capita external communications
Tel: 02076 542399
Email: media@capita.co.uk
Barclays Bank PLC, acting through its Investment Bank (Sole Financial Advisor and Sole Sponsor to Capita)
Aamir Khan
Jessel Sheth
Tom Macdonald
Michael Hart
Stuart Muress
Tel: 0207 623 2323
Important Notice
Barclays, which is authorised by the Prudential Regulation Authority (‘PRA’) and regulated in the United Kingdom by the FCA and the PRA, is acting exclusively for Capita and no one else in connection with the transaction that this announcement relates to and will not be responsible to anyone other than Capita for providing the protections afforded to clients of Barclays nor for providing advice in relation to the transaction or any other matter referred to in this announcement.
