Veris approached to offload two divisions

PROPERTY SERVICES group Veris says it has received approaches for two of its three business divisions.

In a trading update issued yesterday, the company said it had received “a number of unsolicited approaches from unconnected third parties”.

These enquiries related to its facilities and property management business, known as the FM division, and its loss-making moving and storage business. A strategic review of the two divisions will now be carried out.

A statement from Veris said the company was at an “advanced stage” of discussions relating to the disposal of its moving and storage business. A spokesman confirmed that management was not involved in the approaches.

The strategic review would “ensure that Veris pursues a strategy which maximises shareholder value over the medium term”. Veris has also announced that some of its senior management, including chief executive Bernard Farrell, managing director of facilities management division Martin McMahon and chief financial officer John O’Donoghue, will be granted share options. This is described as “part of an overall management incentivisation package, designed to contribute towards the maximisation of shareholder value”.

Commenting on the performance of the Veris group, Mr Farrell said it had performed broadly in line with expectations in 2008 despite the challenging economic environment and Veris’s final outcome for 2008 will be within 10 per cent of market guidance.

A more detailed trading statement will be released on Thursday. Last September, The Irish Times reported that the business had let 20 people go, about a quarter of its workforce, and had put 12 on short-time working. That position has not changed.