Bglobal PLC Strategic Review Initial Results (6335S)

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RNS Number : 6335S

Bglobal PLC

11 November 2013

11 November 2013

Bglobal plc

Initial Actions Resulting from the Strategic Review

Bglobal plc ("Bglobal" or the "Company") today announces the initial actions resulting from the strategic review to enhance value for shareholders.

Following detailed consultation and receipt of a report from KPMG LLP, the Board of Directors ("Board") is implementing a number of actions in order to improve the performance of the business and enhance shareholder value. These actions include taking significant cost out of Bglobal's head office, re-focusing the business on its customers and implementing strict cash management procedures. In addition, the Board has decided to explore a potential sale of its metering business, B Global Metering Limited.

John Grant, Chairman, notes that: "Since 15 August 2013, I, the Board, the management team and employees of the Company have - with the assistance of KPMG LLP - been working hard to review the strategic direction of the Company. As a result, we have already taken a number of steps to improve the current performance of Bglobal, and have decided to explore whether shareholder value can be further maximised through the sale of the metering business as we believe that a third party may be better placed to take this business to the next phase of its development. I would like to thank the customers and employees of the Company for their support during this review period."

The review has also shown that there is considerable value in the remaining businesses in Bglobal's group and strong demand for their services and the Board will focus effort on developing these businesses further.

The Board does not intend to sell its software services business, Utiligroup Limited at this stage and has concluded that it will not be seeking an offer for the Company as a whole. As a result, the Company is no longer in an "offer period" for the purposes of the Takeover Code.

The Board plans to further update shareholders when it announces its interim results in early December.

For further information, please contact:

 
John Grant, Chairman  Mark Taylor                  Rebecca Sanders-Hewett 
 Bglobal plc           Charles Stanley Securities   Dwight Burden 
 Tel: [phone]    Nominated Adviser and        David Ison 
                       Broker                       Redleaf Polhill 
                       Tel: [phone]           Tel: [phone] 
 

This information is provided by RNS

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