Amended: BT In Talks To Sell French Domestic Operations To Computacenter; Stock Up
(Amended the story to say BT will retain a strong presence in France)
Shares of BT Group plc (BT_A.L,BT) and Computacenter plc (CCC.L) were gaining Tuesday morning in London after the companies announced Tuesday that they have entered exclusive negotiations for the sale of BT’s domestic operations in France to Computacenter.
The transaction is subject to consultations with works councils over a minimum period of two months. The deal will then be subject to regulatory approval, with completion expected to take place by the end of 2020.
BT’s domestic operations in France include management and maintenance of IT and network infrastructure, as well as networking and related professional services. In the year ended in March 2019, the business generated total revenue of about 104 million pounds.
BT said the planned divestment is part of its ongoing transformation of its Global unit, while Computacenter expects the acquisition would strengthen its existing business in France.
BT Group added, “BT would retain a strong presence in France serving multinational businesses and organisations, including access points to its global network and a cyber security operations centre.”
BT and Computacenter also intend to enter into a partnership agreement in France, ensuring continuity for existing customers and future growth opportunities.
Tuesday morning, in London, BT shares were trading at 123.58 pence, up 4.92 percent, and Computacenter shares were trading at 1,111 pence, up 4.61 percent.
BT shares closed Tuesday’s trading up 12.8 percent at 132.82 pence, and Computacenter ended the trading 9.7 percent higher at 1,165 pence.
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