Equiniti Group has agreed to sell the EQi direct-to-consumer (D2C) customer business of Equiniti Financial Services to interactive investor (ii) in a deal worth up to £49m.
The deal, anticipated to complete in the summer following a customer migration exercise, comprises £48m payable in cash at completion and up to a further £1m contingent on the timing of migrating all customers to the ii platform. As of 31 December 2020, the D2C business had assets under administration of £5.3bn, including cash balances of £0.6bn, and generated revenue of nearly £15m in 2020. EQ will report an accounting profit on the transaction of £13m and pay just over £2m of corporation tax in the year of disposal, after utilising available brought forward tax losses in Equiniti. ...
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