Findel completes sale of Kleeneze
Findel has completed the sale of its Kleeneze home shopping business to Trillium Pond, a subsidiary of CVSL.
The business was sold for £3.4 million which will be used to reduce the group's bank debt.
In a statement Findel said: "Following an approach from CVSL, the board assessed the opportunities and prospects for Kleeneze and concluded that it was in the best interests of shareholders and members of the Kleeneze network to proceed with this transaction.
“This sale of Kleeneze will streamline the group and enable it to focus its resources on growing its core businesses. Further, the board believes that Kleeneze will benefit from the extensive expertise and support that CVSL would bring.”
As part of an arms-length agreement, Findel’s Express Gifts business will continue to provide Kleeneze with distribution and other support services on an exclusive basis for a minimum period of 18 months.
In the half-year ended 26 September 2014, Kleeneze reported a loss before tax and exceptional items of £0.4 million compared to a profit £0.6 million in the same period in the previous year.
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