27 June 2024

Wilmington plc

UK Healthcare Business sold for £26.3 million

Wilmington plc (LSE: WIL, "Wilmington" or the "Group"), the provider of data, information, education and training in the global Governance, Risk and Compliance markets, has sold its UK Healthcare Business for up to £26.3 million to Inspirit Franklin Holdings Ltd, an entity ultimately owned by funds managed by Inspirit Capital.

This transaction completes Wilmington's sale of its European healthcare businesses, following the disposal of the Group's French healthcare business, APM, announced on 26 April 2024 for €26 million. The total consideration across the two transactions is up to approximately £48.5 million.

The initial consideration of approximately £21.3 million comprises approximately £4.8 million in cash with the balance satisfied through the issue by the purchaser of secured loan notes.

The total consideration will increase by up to approximately £5.1 million, subject to the UK Healthcare Business achieving certain EBITDA targets for the financial year ending 30 June 2025 and will be satisfied by the issue of additional loan notes. The loan notes will be for a term of four years (subject to customary early redemption events) and will carry a variable interest rate equal to the Bank of England base rate.

The UK Healthcare Business includes the entire issued share capitals of Wilmington Healthcare Limited and Interactive Medica SL.

For the year ended 30 June 2023, the UK Healthcare Business had gross assets of £34.1 million and reported a profit before tax of £2.5 million.

The net proceeds of the disposal will be used for the general corporate purposes of the Group.

Mark Milner, Chief Executive Officer of Wilmington, said:

"The disposal of our UK Healthcare Business completes our divestment of our European healthcare businesses, at a combined multiple of 10 times FY23 EBITDA.

"I would like to thank the teams at APM and UK Healthcare for their hard work over their time at Wilmington and wish them and their new business owners the best for the future.

"The Group is now a high margin, pure-play platform, focusing on Governance, Risk and Compliance ("GRC"), providing intelligence, data, and training directly to customers who themselves operate in regulated markets. We continue to strengthen the Group by seeking high quality GRC assets that demonstrate our required characteristics."

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Notes to Editors

Wilmington plc is the recognised knowledge leader and partner of choice for data, information, education and training in the global Governance, Risk and Compliance (GRC) markets. Wilmington employs close to 1,000 people and sells to around 120 countries. Wilmington is listed on the main market of the London Stock Exchange.