BT Group in Talks to Sell French Operations to Computacenter

   By Adria Calatayud

BT Group PLC and Computacenter PLC have entered exclusive negotiations on the acquisition of BT's domestic operations in France by Computacenter, the two companies said Tuesday.

Telecommunications group BT said the planned divestment is part of a continuing transformation of its global services unit, which is seeking to sharpen its focus on delivering next-generation networking, cloud and security services to multinational organizations. For U.K. IT group Computacenter, the deal would strengthen its position in the French networking market and increase the number of its major domestic customers, it said.

For the year to March 31, 2019, BT's domestic operations in France generated revenue of 104 million pounds ($120.5 million), the companies said. The operations included management and maintenance of IT and network infrastructure, as well as networking and related professional services.

The deal is subject to consultations with works councils over a minimum period of two months and the process will adhere to any additional French government guidance issued as a result of the coronavirus pandemic, the companies said. It will then be subject to regulatory approval, with completion expected to take place by the end of 2020.

BT shares at 0910 GMT were 4.8% up at 123.42 pence, while Computacenter traded 4.3% higher at 1,108 pence.

Write to Adria Calatayud at adria.calatayud@dowjones.com

(END) Dow Jones Newswires

March 24, 2020 05:28 ET (09:28 GMT)

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