Article date: 28 April 2006
Aviva plc (“Aviva”) announces thatit has sold the vehicle solutions businesses ofRAC plc (“RAC”) to VT Group plc for £54.4 millionin consideration for the net equity of the businesses and anadditional £32.6 million to settle amounts owing to Aviva groupcompanies. The total cash receivable is £87 million.
The vehicle solutionsbusinesses comprise Lex Transfleet Limited,Lex Defence Limited, Lex Defence Management Limited and RACSoftware Solutions Limited. These are theremaining businesses of the Manufacturer Support Services division(“MSS”) of RAC and they provide outsourced solutionsfor large, complex and diverse vehicle fleets, primarily in thedefence, airside and emergency servicessectors.
Patrick Snowball, executive director Aviva UK,said: “These are excellent businesses, acquired as part ofour purchase of RAC, however their sale is in line with our statedstrategy of focusing on our core business, which is providinginsurance and related services to individual and SMEcustomers.”
Sue Winston, head of group media relations+44 (0)20 7662 8221
Vanessa Booth, group media relations manager +44 (0)20 76622482
Rob Bailhache, Financial Dynamics +44 (0)20 7269 7200
Charles Barrows, investorrelations director +44 (0)20 7662 8115
Nicole Marques, investor relations manager +44 (0)20 7662 8302
Notes to editors:
- VT Group plc is a leading supplier of support services togovernments and government agencies worldwide, includinglogistics support, facilities management and trainingsolutions. It has a strong presence in the defence, airside andemergency services sectors and its acquisition of vehiclesolutions supports its strategy of broadening the range ofservices it offers its customers and strengthening itsrelationships with them.
- Aviva is the world’s sixth largest insurance group basedon gross worldwide premiums and market capitalisation (at 31December 2004), and is one of the leading providers of life andpensions to Europe, with substantial positions in other marketsaround the world.
- Aviva’s principal business activities are long-termsavings, fund management and general insurance, with worldwidetotal sales of £35 billion and assets under management of £317billion at 31 December 2005.
- The Aviva media centre at www.aviva.com/media includesimages, company and product information and a news releasearchive.