IT services and consulting company UXC Limited (ASX:UXC) has revealed that investment firm Cashel House has received finance approval to acquire UXC's Field Solutions Group for $61 million.
UXC said it expects a gain on the sale of the business of between $2 million and $7 million, and that after the sale it will move from a net debt to a net cash position.
The purchasing entity will be Utility Services Group, which will be owned by Cashel House, Service Stream (ASX:SSM) founding CEO Patrick Flannigan, and other investors including members of the acquired business' management team.
The deal still requires approvals including customers' consent to a change of control, but barring any roadblocks should close later in August.
UXC managing director Cris Nicolli said the sale positions the company to achieve “a key tenet in the strategic plan we have adopted – the transformation of UXC into a pure IT business.”
Other recent measures include consolidating its consulting businesses under the banner of UXC Consulting and its IT infrastructure operations into UXC Connect.
UXC shares grew 5.6% in Wednesday's trading to $0.660.