Homeserve Plc Joint Venture (9967P)

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RNS Number : 9967P

Homeserve Plc

14 February 2019

HOMESERVE PLC

JOINT VENTURE IN JAPAN

LONDON - 14 February 2019 - HomeServe plc ("HomeServe"), the international home repairs and improvements business, today signed an agreement with Mitsubishi Corporation ("MC") to establish a joint venture ("JV") in Japan.

The joint venture will be called HomeServe Japan Corporation and will be 50:50 owned by HomeServe and Mitsubishi Corporation. HomeServe Japan Corporation will build a business to provide home emergency and repair services in electrics, plumbing, gas, heating, ventilation and air conditioning. The business will be based on a Membership model, and will also offer on-demand services to residential customers.

Barry Gibson, Chairman of HomeServe said after the signing ceremony in Tokyo today: "HomeServe is delighted to have formed this partnership with Mitsubishi Corporation. MC has unparalleled relationships and an excellent reputation in Japan and will supply local market know-how and its high quality management skills to the JV. HomeServe brings 25 years of experience in helping customers across the world with home emergencies, repairs and improvements.

"Japan is the world's third largest economy with 53 million residential households. Recent liberalisation of the gas and electricity markets, together with access to the water market for private concessions, has created a positive environment for HomeServe's utility branded home assistance model.

"Our priorities are to put in place our start-up staff, work with MC to identify and sign our first affinity partnerships, and begin market testing."

HomeServe and MC will each make an initial cash investment of GBP2 million into the JV.

There are no current profits attributable to the JV and no assets other than the initial cash investment are being contributed to it.

About HomeServe

HomeServe is an international home repairs and improvements business which provides people with access to tradespeople and technology to run their homes more easily. HomeServe is listed on the London Stock Exchange, with a market capitalisation of c.GBP3.2 billion. More information about HomeServe's international partnership strategy can be found at www.homeserveglobal.com.

About Mitsubishi Corporation

Mitsubishi Corporation is a global integrated business enterprise that develops and operates businesses across virtually every industry, including industrial finance, energy, metals, machinery, chemicals and daily living essentials, having wide-ranging relationships with public and private utilities in Japan.

Enquiries

 
 
   HomeServe                      Tulchan Group 
                                  Martin Robinson 
   Miriam McKay                   Lisa Jarrett-Kerr 
   [e-mail]     [e-mail] 
   [phone]                [phone] 
 
   Simon Lewis 
   [e-mail] 
   [phone] 
 

Forward-looking statements

This announcement contains forward-looking statements with respect to the financial condition, results and business of HomeServe plc. By their nature, forward-looking statements involve risk and uncertainty because they relate to events, and depend on circumstances, that will occur in the future. HomeServe's actual future results may differ materially from the results expressed or implied in these forward-looking statements. Nothing in this announcement should be construed as a profit forecast.

ENDS

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February 14, 2019 02:30 ET (07:30 GMT)