Capita to offload software division for £62 million

Capita logo displayed in front of a Capita sign
(Image credit: Getty Images)

Capita has announced plans to sell off its software division to NEC Software Solutions for around £62 million, as the outsourcing specialist moves forward with its disposal plan.

The firm’s Secure Solutions and Services (SSS) division provides software solutions and managed services to the emergency services, criminal justice and critical responder sectors. Its sale marks the next stage of Capita’s disposal of non-core businesses - a process designed to raise £700 million in funds for the business.

Announcing the sale of SSS, Capita said it was “making good progress” towards the target figure with disposals in 2021 and the first half of 2022. The latest sale takes the total so far up to approximately £600 million, it said.

"The disposal is another step towards a more focused and sustainable business for the long term,” said Capita chief executive Jon Lewis in an announcement.

“At the same time, our Secure Solutions & Services colleagues and clients will join an established industry organisation with plans to take the business onto the next stage of its development."

Based in Chippenham, Wiltshire, Secure Solutions and Services currently employs more than 120 people and last year reported pre-tax profits of £10 million from revenues of £72 million.

Subject to consents and approvals, the business will now become part of NEC Software Solutions UK, which specialises in providing software and services to UK police forces, as well as law enforcement agencies around the world – which include use cases such as forensics, traffic enforcement and biometrics.

NEC said the addition of SSS will bolster its cause of providing innovative solutions to critical sectors.

“Emergency services face extreme challenges and pressures when deploying resources,” commented Tina Whitley, CEO of NEC Software Solutions UK. “Our goal has always been to provide emergency services with innovative tools to be able to better protect the communities they serve.

“By bringing our two teams together, we create an enhanced platform to ensure we continue to do this as we innovate and grow.”

Daniel Todd

Dan is a freelance writer and regular contributor to ChannelPro, covering the latest news stories across the IT, technology, and channel landscapes. Topics regularly cover cloud technologies, cyber security, software and operating system guides, and the latest mergers and acquisitions.

A journalism graduate from Leeds Beckett University, he combines a passion for the written word with a keen interest in the latest technology and its influence in an increasingly connected world.

He started writing for ChannelPro back in 2016, focusing on a mixture of news and technology guides, before becoming a regular contributor to ITPro. Elsewhere, he has previously written news and features across a range of other topics, including sport, music, and general news.