Computershare writes down $US40m

Software provider closes digital post joint venture, sells some businesses.

Computershare (CPU) expects to write down approximately $US40 million ($A42.4m) after tax after selling some businesses and closing its digital post joint venture to focus on its core activities.

The software provider announced in June it was closing its Digital Post Australia joint venture with Zumbox due to the absence of market support.

The company will also sell off its California-based Highlands Insurance Solutions business and its Auckland-based 50% stake in Chelmer Ltd at a premium to book value, realising profits.

But Computershare sold its Pepper business, located in Germany, Singapore and the US at a loss.

Computershare is also in the process of selling VEM Aktienbank, located in Germany.

The company said it is nearing the end of its review of non-strategic assets and does not anticipate any more writedowns from the review.

Computershare reaffirmed expectations of fiscal 2014 management earnings per share between 5% and 10% higher than fiscal 2013 results.

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