CPPGroup to sell Indian unit for $21 million amid strategy shift

Published 29/07/2025, 14:02
CPPGroup to sell Indian unit for $21 million amid strategy shift

LONDON - CPPGroup Plc (AIM:CPP) announced Tuesday it has exchanged contracts to sell its Indian subsidiary to OneAssist Consumer Solutions and Bolttech Device Protection India for $21 million (approximately £15.7 million) in cash, pending shareholder approval.

The transaction represents a key milestone in CPP’s revised strategy to focus solely on its InsurTech business, Blink Parametric, while divesting legacy assets. The sale requires shareholder approval at a general meeting scheduled for August 14 in London, as it constitutes a fundamental disposal under AIM Rule 15.

CPP India, which provides assistance and protection services through partnerships with banks and financial technology businesses, accounted for approximately 93% of the group’s revenue, 82.5% of EBITDA, and 80.7% of profit before tax in 2024.

The company plans to use proceeds from this sale, along with the recent £6.1 million disposal of its Turkish operations, to fund investment in Blink, repay its revolving credit facility, and support ongoing working capital requirements.

"The Board considers the Sale to be an attractive opportunity, representing a key milestone in the Group’s revised strategy and reflecting a fair net present value for CPP India’s future revenue and profitability," the company stated in its press release.

Following completion, CPP will implement a restructuring program expected to deliver "a material reduction in annualised central costs." The company has received letters of intent from shareholders representing approximately 61.7% of its issued share capital to vote in favor of the transaction.

Blink, which provides real-time data-driven assistance solutions for travel disruption and cybersecurity, is forecast to increase its annual recurring revenue to at least £3 million by December 2025 and £5 million by December 2026, with break-even EBITDA expected in 2028.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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