Capita speeds up its sell-off with car parks technology deal

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Capita chief Jon Lewis accelerated his slimdown of the struggling outsourcer on Thursday by offloading a parking tech business for £235 million. 

Aussie infrastructure investor Macquarie and private equity firms MML Capital Partners will buy ParkingEye, a piece of technology which reads number plates at places like NHS and Aldi supermarkets car parks.

ParkingEye makes so-called automatic number plate recognition equipment, which checks plates to make sure drivers don’t overstay, for around 3500 sites across the Uk.

The sale takes the number of Capita disposals since Lewis took charge last December to five and total proceeds have passed £400 million, around £100 million higher than planned. 

“This transaction marks a further step in executing the strategy announced in April aimed at simplifying and strengthening the business to deliver future success,” Lewis said.

Proceeds from the sale will go towards cutting debt.

The 56-year-old is seeking to change Capita from a bloated low-margin outsourcer to a nimble tech group and is shedding unwanted parts in the process.

To date Capita has offloaded Supplier Assessment Services for £160 million, Specialist Insurance Services for  £16 million, Projen for £2.75 million and Medicals Direct for £2.7 million.

Today the company also announced a £105 million six-year contract to manage all primary school national curriculum tests in England.

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