StoneCo Ltd (STNE) Announced Divestment of its Software Segment

StoneCo Ltd. (NASDAQ:STNE) is one of the Best Performing Tech Stocks According to Hedge Funds. On July 22, StoneCo Ltd. (NASDAQ:STNE) announced its divestment plan through which it will sell most of its software segment, including Linx and other related assets, to TOTVS for R$3.41 billion.

The assets included in the announcement account for almost 79% of the segment’s 2024 revenue. While this deal is subject to regulatory approvals, the company has completed the sale of its veterinary software SimplesVet to PetLove for R$140 million. After the sales of these assets, the company will retain a few software businesses which it plans to sell in the future. Management noted that this is a strategic move to focus more on its core business. The company noted that the utilization plan for the proceeds would be announced after the deals close.

StoneCo Ltd. (NASDAQ:STNE) is a financial technology company that provides cloud-based payment and software solutions.

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Disclosure: None. This article is originally published at Insider Monkey.