Findel is to dispose of its healthcare division to LDC, the private equity arm of Lloyds Bank as group sales jump 8.3% in its year to date.
The deal is valued at £24m, which also covers the business’ pension deficit, and is expected to compete by April 16.
Its healthcare business NRS, which supplies rehabilitation and primary care equipment to the public and private sectors, generated £76.8m of revenue and an operating profit of £2.1m in its year to March 30, 2012.
Findel chairman David Sugden said: “The disposal will enable Findel to better focus on the turnaround plans for the remainder of the Group, and will also help to strengthen the balance sheet by reducing Group borrowings.”
Findel group sales jumped 8.3% in the 49 weeks to March 8 with second half revenue up 8.7%. The retailer said it was “encouraged by the positive progress” being made against its turnaround plan.
Catalogue Express Gifts sales soared 14.3% over the period, though growth had eased in recent weeks as comparative periods became stronger. Customer numbers have increased 8% during the calendar year as its improvements in offer and margin investment proved popular.
However trading at Kleenexe was “challenging” plunging 8.1%. Findel said that the decline had now been “broadly stabilised” in the recently restructured business.
Meanwhile sportswear etailer Kitbag posted a 13.5% sales jump as it won new contracts for the NBA, NFL, French Open and Tour de France.