Outsourcery sold to GCI Network Solutions, in admin

AcquisitionsCloud
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Sale of the firm follows the suspension of the cloud service provider’s shares last week

Outsourcery is to be sold to GCI Network Solutions but the company will still go into administration to aid the sale.

The loss-making company suspended its shares last week and also said an asset sale would leave shareholders with nothing in return, leading to speculation that the company had hit the wall completely.

Cloud 1That is now the case. Existing backer Vodafone recently pumped in some secured working capital to try and help out the cash-strapped company, but that obviously wasn’t enough for the cloud services and unified communications provider.

The AIM-listed firm said: “Agreement has been reached to sell substantially the entire business and assets of the company’s trading subsidiary Outsourcery Hosting Limited to GCI Network Solutions Limited.

In order to complete the sale, it will be necessary to appoint administrators, and the board of Outsourcery has resolved to appoint partners from EY as administrators for this purpose. The appointment is expected to be made today, and the sale is expected to complete shortly thereafter.”

Outsourcery’s customers will now be wondering about continuity of service. 15-year-old GCI Network Solutions is headquartered in Lincoln and has offices across the UK.

@AntonySavvas