Mitie sells home healthcare business for £2

Image copyright Science Photo Library Image caption Mitie is exiting the home healthcare market

Outsourcing firm Mitie, which has issued three profit warnings in the past year, is selling its home healthcare business for just £2.

The buyer is private equity firm Apposite Capital, which will also receive £9.45m from Mitie to fund the business's trading losses.

It will also write off £36.8m in costs.

In November, Mitie's half-year results showed a £100m loss, compared with a £45m profit a year earlier, which it blamed on "changing market conditions".

It said at the time that it was withdrawing from the home healthcare market and had put its healthcare unit "under strategic review".

Shares in Mitie rose 7.7% in morning trading following news of the deal, which covers the firm's Enara and Complete Care brands.


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