DCC takes £348.3m charge against tech unit before sale deal

DCC Energy booked a £348.3 million (€416.9 million) charge against its technology unit in the six months to the end of September as it neared a deal to sell the business.

The impairment charge pushed DCC into a net loss of £323.7 million for the period, according to its latest financial results, published on Tuesday.

The Dublin-based group, which is in the process of being taken over by US private equity firms KKR and Energy Capital Partners, said in early October that it will receive $701 million (€626.8 million) in net proceeds for the tech unit, called Nexora, which it has agreed to sell to New York-based One Equity Partners.

KKR and Energy Capital had promised as part of their deal to give DCC shareholders a £1.25-a-share payout if Nexora achieved $800 million. That was in addition to £65.25-a-share on offer for the wider group. The company’s shareholders will have to make do with a third of the £1.25 maximum additional consideration.

The deal was also well below that some analysts had initially expected the division to achieve when DCC chief executive Donal Murphy announced in late 2024 that the group was abandoning what remained of its conglomerate roots to focus on energy.

“Following the agreement to dispose of [Nexora] in October 2026, a non-cash impairment before tax of £348.3 million has been recognised in the current period to reflect the expected proceeds on disposal,” DCC said on Tuesday.

“The net charge also includes restructuring, redundancy and transaction-related costs associated with the disposal and separation of the business, and a gain of £12.7 million on the disposal of property in North America. There was a related tax credit of £24.4 million in relation to these charges.”

DCC confirmed that it expects the Nexora sale to be completed by March 1^st and the KKR and Energy Capital takeover to be finalised “in the first quarter” of 2027.