CPPGroup PLC - Leeds-based products and services for financial services and insurance sectors - Agrees to sell its Chinese business, comprising CPP Asia Ltd and CPP Technology Services Shanghai Co Ltd, to T-Link Holdings Ltd for nominal payment of HKD1.
The sale is due to slow progress on capitalising on demand for the protection and assistance services in the Chinese market, and continued losses being incurred by the Chinese business.
"This disposal is in line with CPP Group's commitment to taking decisive action in withdrawing from markets where it does not believe its prospects are sufficiently strong. It follows the steps we took in 2021 to simplify and focus the Group, through the sale of our German card protection business and restructuring our operations in Mexico and Malaysia," says Chief Executive Officer Jason Walsh.
Current stock price: 366.00 pence, up 4.0% on Wednesday
12-month change: down 23%
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Cppgroup (CPP)