SHL severs training arm

SHL Systemhouse will sell off its learning technologies training unit as the reseller completes its restructure and concentrates on integration and outsourcing.

Last week, US training company General Physics signed a letter of intent to buy the entire arm - which covers the US, Canada and the UK - to spearhead its entry into the UK. The deal is expected to close before the end of May. General Physics grabbed the deal after several months of talks involving four other interested parties.

SHL's business included application training for Microsoft and Lotus suites, technical certification training for Microsoft, Novell and Cisco, and general technical training for designers. SHL indicated the unit was one of the most lucrative parts of its business and had increased profits by eight per cent last year.

Jonas Hjerpe, SHL marketing manager, said the 'substantial multi-million pound deal' completed the refocusing of SHL's UK business. The company will continue working with Action Computer Supplies, which recently acquired SHL's reseller arm for #7.9 million (PC Dealer, 8 April).

Hjerpe denied SHL's move will weaken its UK presence, claiming: 'We will continue to expand our SI and outsourcing business by winning fresh clients via alliances. We will also start an aggressive marketing campaign for large blue chip contracts at the end of summer.'

He confirmed the decision to sell the division was driven by SHL's Canadian headquarters, but denied there were plans to off-load any other parts of SHL globally.

Sandy Cals-Summers, a Dataquest analyst, said: 'To compete in this area, SHL will need to inject a substantial amount of capital. Selling a profitable part of the business, which isn't a core competency, will provide the necessary finance.'