Business support services company DCC said today it has completed the sale of its healthcare division following regulatory approval.
In April it agreed to sell the business to HealthCo Investment Limited for £1.05 billion.
DCC said the completion of the sale is a material step in its strategy to simplify operations, maximise shareholder value and accelerate the growth of its energy business, its largest and highest returning division.
It said it will return £800m of the deal proceeds to shareholders.
DCC started this process in May with the launch of a £100m on-market share buyback programme. That programme is expected to complete in the coming weeks.
It also intends to launch a £600m tender offer shortly after its interim results in November, with the expectation of completing the tender offer in December.
DCC said the final £100m will be returned to shareholders following receipt of unconditional deferred consideration payable for DCC Healthcare in about two years.
Donal Murphy, chief executive of DCC, said the company was simplifying its business so that it can focus all efforts on growth opportunities in the energy sector, which offers the most compelling opportunity for shareholders.
"The completion of the sale of DCC Healthcare and the return of a further £600m in proceeds to our shareholders later this year are two important steps in this process," the CEO said.
"DCC remains focused on delivering sustainable, long-term value for our shareholders and other stakeholders," he added.
