Fintel has sold Gateway Surveying Services Limited and APS Legal & Associates Limited to Kairos Professional Services Limited.
The deal sees a 16% reduction in Fintel’s workforce.
The deal brings Fintel cash up to £1m, with £0.6m paid upfront, as the owner of Defaqto and SimplyBiz undertakes a ‘strategic portfolio simplification’ to focus on software, data and services.
In 2025 Gateway and APS contributed £11.2m in revenue and £0.9m in EBITDA (a common measure of profitability).
Fintel's profits grew 17% last year to £25.9m, up from £22.2m in 2024.
The sales come after the Fintel Board conducted a strategic review of its portfolio of businesses and concluded neither business was core to the group’s strategy.
Matt Timmins, Chief Executive Officer of Fintel, said the sale enables the firm to focus on its core business areas.
He said: “The disposal also reduces complexity in the group, removes significant operational risks, whilst supporting improved capital allocation, and enabling focused investment in higher growth, higher margin areas of the group.”
Purchaser Kairos is owned and controlled by Neil Stevens, former joint CEO of the company and a former director of both businesses.
Under the terms of the deal, Fintel will share in any uplift in value should Kairos sell Gateway or APS on at a higher value within three years of completion.
Following the deal Fintel will no longer need to continue to insure, or insure on a 'run off' basis, approximately 500,000 previously completed property valuations, as well as removing the custody risk of around £11m in client money currently in probate.
Gateway provides property valuation services to mainstream UK lenders and generated revenue of approximately £9.7m and EBITDA of approximately £0.8m for the twelve months ended 31 December 2025.
APS provides will-writing and probate services via a network of associates and generated revenue of £1.5m and EBITDA of £0.1m for the twelve months ended 31 December 2025.
Fintel owns a number of UK fintech and support businesses including Defaqto, Simplybiz and Threesixty.