Rentokil sells conferences arm

Pest control and hygiene firm Rentokil Initial continued its restructuring today by agreeing to sell its conference venues business for £325m (€474.7m).

The group, which recently reported a 21% drop in quarterly profits and fended off a bid for control from Sir Gerry Robinson, has sold Initial Style Conferences business to a group of private investors.

The group, led by Richard Balfour-Lynn, chief executive of property investment group Marylebone Warwick Balfour, is expected to complete the deal in the next two weeks, according to a statement by Rentokil.

It owns the freehold to 21 of the 29 venues in the UK, with sites including Devonport House in London, Highfield Park at Hook, Hampshire, Milton Hill House at Steventon, Oxfordshire and Staverton Park at Daventry, Northamptonshire.

The locations offer conference services to clients including BP and Barclays, generating profits of £19.7m (€28.8m) in the last calendar year.

Chief executive Doug Flynn said the transaction was a good outcome for shareholders and helped tidy up the group’s portfolio.

He said today: “We believe there are other owners for whom the business would be a better fit.”