Controversial security solutions provider G4S PLC (LON:GFS) is to pull the trigger on plans to hive off its Cash Solutions arm.

The division, which transports and stores money on behalf of its customers, plans to demerge the business in the first half of next year.

Shares in the company were up 6.9% at 196.45p on the news, which accompanied the release of its half-year results.

The first half of 2019 saw the Cash Solutions business grow revenue by 3.9% year-on-year while the Secure Solutions division’s revenue grew 4.9%.

First-half revenue for the group as a whole rose 3,8%, or 4.7% in constant currency (CC) terms, to £3.8bn from £3.7bn the year before

Reported profit before tax fell to £108mln from £137mln, largely as a result of £35mln goodwill impairment relating to Brazilian businesses acquired in 2012.

Earnings per share fell 3.8p from 6.5p the previous year while operating cash flow eased to £189mln from £251mln. Operating cash flow conversion clocked in at 88% but the group expects conversion over the full-year to exceed 100%.

The ratio of net debt to underlying earnings (EBITDA) rose to 2.85 from 2.73 in the same period of last year; G4S expects the full-year outcome will be around 2.7.

“In the first half of this year, our improving sales performance in both Secure Solutions and Cash Solutions saw the group deliver underlying revenue growth of 4.7%. This growth together with new contract wins, supports our medium-term revenue goal of 4-6% per annum,” claimed Ashley Almanza, the chief executive officer of G4S.

“The group’s half-year performance, sales pipeline, revenue momentum and productivity programmes support a positive outlook,” he added.