FD Technologies (LON:FDP) today announced that the proposed sale of First Derivative to EPAM is on track to complete on 2 December.
This follows an announcement on 14 November that all closing conditions had been satisfied. EPAM is a global professional services company and will provide First Derivative a platform with the scale and resources to support its growth ambitions.
FD Technologies also anticipates potential synergies for KX through a further strengthening of the partnership between the First Derivative Business and KX.
The continuing Group will solely consist of the KX business, which provides a robust, scalable, and efficient database and analytics engine, ideal for time-oriented data and AI use cases, and trusted by many of the world’s top enterprises.
After customary closing adjustments, transaction and separation costs, net cash proceeds from the sale of First Derivative are expected to be approximately £205 million.
In October 2023, a formal review of the Group structure was announced, which enabled extensive consultation with shareholders and input from advisers. The aim of the review was to determine the optimal organisational structure and allocation of capital to best drive value for shareholders.
On 1 March 2024, the Board announced that it had unanimously concluded that the separation of its three businesses (KX, the First Derivative Business and MRP) was the most effective way to achieve these objectives and was in the best interest of shareholders.
