Business
Disposal of England and Wales Domiciliary Care
Disposal of England and Wales Domiciliary Care.
About this update from Mears Group Plc
[{"type":"text","content":"\n \nRNS Number : 6625B Mears Group PLC 03 February 2020 \n\n\n\n\n\n\n\n3 February 2020\n\n\n\n \nMears Group PLC\n(\"Mears\" or \"the Group\" or \"the Company\")\n \nDisposal of the England and Wales Domiciliary Care business\n \nFurther to the announcement on 21 January 2020, Mears (LSE: MER) is pleased to announce that it has completed the disposal of its England and Wales Domiciliary Care business to Cera Care Operations Holdings Limited for a cash consideration of £4.0m payable on completion, and a further £1.0m of deferred consideration receivable over the coming twelve months. The proceeds from the disposal will be used to reduce the Group's indebtedness.\nIn the year ended 31 December 2019, the activities subject to the disposal generated revenues of circa £36.0m and a profit contribution, after an allocation of support costs, of circa £1.7m. The disposal will result in around 1,500 employees leaving the Group across 18 branches. Gross Assets of circa £4.8m (excluding intangibles), as at 31 December 2019, transferred with the business.\nDavid Miles, Chief Executive Officer of the Group, commented:\n\"We can be extremely proud of our achievements in care in terms of improving service delivery, workforce pay and conditions but the sector remains underfunded and it has proved impossible to generate an adequate financial return. I am pleased to have completed the disposal of the England and Wales Domiciliary Care business to Cera Care. This will provide continuity for our customers and employees, at the same time as enabling us to focus our efforts where we can deliver superior returns for shareholders.\"\nFor further information, contact:\nMears Group PLC \n\n\n\nDavid Miles, Chief Executive Officer \n\n\nTel: +44(0)7778 220 185\n\n\n\n\nAndrew Smith, Finance Director \n\n\nTel: +44(0)7712 866 461\n\n\n\n\nAlan Long, Executive Director \n\n\nTel: +44(0)7979 966 453\n\n\n\n\n\n\n\n\n\n\n\n\nwww.mearsgroup.co.uk\n\n\n\n\n\n\n\n\n\n\n\n \nBuchanan\nMark Court/Charlotte Slater ...