Last checked at 17 Sep 2008 07:18
Christie Group plc ("Christie Group" or the "Company")
Disposal of retail software business
Christie Group announces today that it has exchanged contracts for the sale of its Retail Software business, VCS Timeless to Cegid SA for a consideration of €4 million cash receivable on completion.
The Retail Software business provides head office, point of sale and supply chain management software.
In the year to 31 December 2007, the Retail Software business lost £3.3 million. The net assets of this business at 31 December 2007 were £7.2 million (including capitalised research and development costs of £4.4 million).
The sales proceeds will be retained and used to augment the Company's working capital position.
The Hospitality and Cinema software business, which in 2007 had revenues of £1.7 million and traded profitably, does not form part of this transaction.
Commenting on the disposal, Philip Gwyn, Chairman, said, "I announced in June that we would look for a strategic partner to assist with the funding of the software development programme. In the current economic climate, this has not proved either possible or desirable. Your Board therefore took the decision that it would be in the best interests of shareholders to sell the business. I am pleased to report that both our Professional Business Services Division and our Stock and Inventory Services Division traded profitably during our first half. Further information will be provided in our interim results which we will publish later this month."
17 September 2008
Enquiries
Christie Group plc 020 7227 0707
David Rugg, Chief Executive
Robert Zenker, Finance Director
Weber Shandwick Financial 020 7067 0700
Richard Hews / Rachel Martin
Charles Stanley Securities 020 7149 6000
Nominated Adviser
Philip Davies