27 Jan 2023 09:54
27 January 2023
The Ince Group plc
("Ince", the "Company" or the "Group")
Strategic Disposal of Non-Core Practice
The Ince Group plc (AIM: INCE), an international, full service corporate and commercial law firm specialising in the shipping, insurance, aviation, energy, construction/real estate and high-net-worth advisory sectors, today confirms that it has agreed terms for the sale of the business and assets of its Bristol-based claimant personal injury and clinical negligence practice (the "Practice") to Clinical Negligence Services Ltd (trading as Enable Law, "Enable") (the "Disposal").
The proposed Disposal is consistent with Ince's strategy to dispose of non-core businesses and focus its insurance practice on corporate insurer clients in the defendant-side market, where six partners have joined the Group in the last year.
The Disposal is expected to complete during February 2023, subject to binding contracts being entered into and conditions being satisfied, including the approval of Ince's principal lending bank. The consideration for the Disposal will be £1.3m in cash, and has been calculated based on the current value of the Practice's claims book. The Disposal of this claimant-side business will reduce the Group's cost base, generate cash consideration and liberate management time to devote to the new leadership team's strategy. The proceeds of the Disposal will be applied to the Group's working capital requirements.
In the financial year ended 31 March 2022, the Practice generated revenue of £2.2m and profits before tax of £0.4m. The Practice consists of a team of 15 fee earners and support staff servicing a claims book of approximately 275 files, valued for accounting purposes at £1.8m as at 31 March 2022, all of which involve the Practice representing claimants in respect of personal injury or clinical negligence cases. The Practice derives its revenues from legal fees and success fees recovered from defendants and their insurers where the relevant file is determined successfully for the claimant.
Following the proposed Disposal, the Group's offices at Queen Square House, Bristol, will be retained and the Bristol office will continue to be an active regional hub and a key part of the Group's strategy in the UK.
The Company has granted exclusivity to Enable in respect of the Disposal, which will terminate on 28 February 2023 if a binding agreement in respect of the Disposal has not been reached. A further announcement will be made in due course.
Contacts:
The Ince Group plc | |
Donald Brown, Group Chief Executive | investorrelations@incegd.com |
Simon Oakes, Chief Financial Officer | |
Allenby Capital Limited - Nominated Adviser | +44 (0) 20 3328 5656 |
Jeremy Porter / Piers Shimwell, Corporate Finance | |
Arden Partners plc - Broker | +44 (0) 20 7614 5900 |
Louisa Waddell, Corporate Finance | |
Simon Johnson, Corporate Broking | |
SEC Newgate - Financial Communications Emma Kane / Alistair Kellie
| +44 (0) 7876 338339 ince@secnewgate.co.uk |
Notes to Editors
· The Ince Group plc is an international corporate and commercial law firm with offices across Asia, EMEA and the UK.
· Ince provides corporate, commercial, and ultra-high-net-worth clients with comprehensive legal solutions for their complex legal and strategic needs.
· Its team has deep sector expertise in:- shipping- insurance- aviation- energy- real estate (construction disputes, conveyancing, and property acquisitions and disposals)
· Since mid-2022, its new leadership team has refocused the Group's growth strategy on its core legal services, streamlining its operations and support structures accordingly.
· Further information is available on the Company's investor website (www.theincegroup.com) and at www.incegd.com.
· Follow Ince on Twitter and LinkedIn.