ASX-listed PS&C has offloaded its advisory and consulting division Glass for $1.6 million.
In an ASX announcement (pdf) released today, PS&C said the division will be snapped up by a company called Vitrics, which is owned by Glass directors Erin Brown and Wayne Custodio, plus PS&C chief financial officer Jeffrey Bennett and former CEO Glenn Fielding.
Based in Brisbane, Glass specialises in strategy and advisory, data analytics, technology enablement, digital delivery and transformation services. The organisation was established within PS&C in July 2017.
The transaction is part of PS&C’s decision to focus its business in Victoria, its most profitable region. The company has already sold off its security division and Canberra business to Melbourne-based Tesserent in October and December 2019, respectively, for a total consideration of $20 million.
Upon completion of the sale of Glass, PS&C estimates that some $600,000 of corporate overheads will be removed before 30 June 2020, based on the current performance of its Victorian division.
PS&C has struggled in the past two financial years, posting a $10.1 million loss in FY2018 and a $53.5 million loss in FY2019, with the latter resulting in the resignation of Fielding in September 2019. The continued losses stem from the company’s aggressive growth strategy, acquiring several companies since going public in November 2013.