MISSION Group (LSE:TMG) shares rose 4% to 23.47p after it completed the sale of 80%-owned internet-of-things subsidiary Pathfindr to Bandwidth Investments after deeming the lossmaking business "non-core".
An initial cash consideration of £1 million has been paid, with the potential for further earn-out payments based on future earnings over the next three years, as revealed last month.
MISSION, which saw its shares fall to a 13-year low in November after a profit warning the month before, said it will use the initial cash to pay down debt.
Pathfindr is forecast to record a £1.3 million loss before tax for last year, compared with an operating loss of £0.3 million on revenues of £0.4 million in 2022.