Update on non-core assets
19 December 2022
Learning Technologies Group plc
("LTG", the "Group" or the "Company")
(AIM: LTG)
Update on non-core assets
Learning Technologies Group plc, a global market leader in digital learning and talent management, today provides an update on the UK based businesses within GP Strategies previously identified as non-core. As disclosed in the Company's Half Year Results on 22 September 2022, LTG plans to exit these two non-core assets as soon as practicable.
The Board intends to close one of these two small non-core businesses, the UK apprenticeship business, in early 2023. The financial impact and closure costs will be non-material. The business is anticipated to generate c. £9m revenue and c. £1.1m Adjusted EBIT in FY 2022 from the provision of apprenticeships for staff working in early-years education and care provision under a contract with the Education and Skills Funding Agency.
The closure follows a decision by the Board that the nature of the customer relationships and quality of the offering in the business do not match the high standards elsewhere in GP Strategies and the Group, especially following a negative Ofsted report in late 2022.
The other non-core asset is trading well, has an increased order book and is a candidate for disposal in 2023. LTG remains focussed on delivering the transformation and integration of GP Strategies, the new go to market strategy and future value enhancing acquisitions. As outlined at its Capital Markets Day in October 2022, LTG has a compelling market position following the transformational acquisition and successful integration of GP Strategies. This is expected to drive new growth opportunities in a $107 billion addressable market in digital learning and talent management and supports the Board's updated ambition to achieve run-rate revenues of £850 million and run-rate adjusted EBIT of £175 million by the end of 2025.
Enquiries:
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Learning Technologies Group plc Jonathan Satchell, Chief Executive Kath Kearney-Croft, Chief Financial Officer
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+44 (0)20 7832 3440 |
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Numis Securities Limited (NOMAD and Corporate Broker) Stuart Skinner, Nick Westlake, Ben Stoop
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+44 (0)20 7260 1000 |
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Goldman Sachs International (Joint Corporate Broker) Bertie Whitehead, Adam Laikin
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+44 (0)20 7774 1000 |
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FTI Consulting (Public Relations Adviser) Rob Mindell, Jamie Ricketts, Jamille Smith |
+44 (0)20 3727 1000 |
About LTG
Learning Technologies Group plc (LTG) is a leader in the growing workplace digital learning and talent management market. The Group offers end-to-end learning and talent solutions ranging from strategic consultancy, through a range of content and platform solutions to analytical insights that enable corporate and government clients to close the gap between current and future workforce capability.
LTG is listed on the London Stock Exchange's Alternative Investment Market (LTG.L) and headquartered in London. The Group has offices in Europe, North America, South America and Asia-Pacific.
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