Claims service provider Stream Group has announced the sale of its UK business as it attempts to clear debts.

As previously reported by insuranceNEWS.com.au, the group’s Australian business is being liquidated after entering voluntary administration late last year.

In an update to the Australian Securities Exchange, Stream says the UK business was not profitable in the six months to December 31, and “will require additional cash that [Stream] is not able to provide”.

It has therefore sold its 56% shareholding to Neiser Beteiligungs, a lender to Stream.

The company’s only active business in Australia, Censeo – an engineering claims specialist acquired as part of the Cerno purchase – is being sold to management.

Stream says it has taken steps to ensure liquidation of the Australian business does not affect its “highly successful” New Zealand operation.

“To stabilise the group’s financial base, the group has resolved to focus its activities on the profitable New Zealand business as core, to sell all its non-core assets and to raise sufficient fresh capital to pay out the group’s banking facilities and to reduce debt to essentially zero.”

The New Zealand business has been rebranded and relaunched as Symetri, and all services previously provided by the Australian group are now managed within New Zealand.