Business
Divestment of Precast Concrete Interests
Divestment of Precast Concrete Interests.
About this update from Eleco Plc
[{"type":"text","content":"\n \nRNS Number : 1465W Eleco PLC 20 December 2013 \n\n \n \nFor immediate release\n \n \n20 December 2013\n \nEleco plc (AIM: ELCO)\n(\"Eleco\")\n \nDivestment of Precast Concrete Interests\n \nEleco emerges as an international software group \n \n \n \nThe Board of Eleco announces the sale of certain precast concrete manufacturing assets to FP McCann Limited (\"FP McCann\"), for a total consideration of £2,500,000 in cash. FP McCann is a leading specialist manufacturer of precast concrete products in the United Kingdom. \n \nAs a consequence, Eleco's continuing businesses now consist solely of its profitable software interests, which are based in the United Kingdom, Sweden and Germany and in effect Eleco has emerged as an international construction software specialist. \n \n \nSale of certain precast assets to FP McCann\n \nThe assets sold to FP McCann are as follows, (i) the business and assets of Milbury Systems Limited (\"Milbury Systems\"); (ii) the freehold land and buildings at Lydney, Gloucestershire, where Milbury Systems is based; and (iii) the freehold land and buildings at Grantham, Lincolnshire, where Bell & Webster Concrete Limited (\"Bell & Webster\") is based.\n \n \nApplication of proceeds\n \nThe proceeds from the sale of these assets have been applied by Eleco to reduce its bank borrowings.\n \n \nRecent Performance of ElecoPrecast\nBased on audited accounts for the 12 months ended 31 December 2012, turnover of ElecoPrecast was £9.06m, of which Milbury contributed £5.87m and Bell & Webster £3.19m. The loss before tax of ElecoPrecast in the period was £1.74m, of which Milbury contributed £0.26m and Bell & Webster £1.48m. \nThe total book value of the assets sold as at 31 December 2012 represented £6.4m.\n \nAppointment of Administrators to Bell & Webster \n \nJohn Alexander and John Dickinson of Carter Backer Winter LLP were today appointed as Administrators of Bell & Webster. \n \nEleco has been informed that FP McCann approached the Administrators following their appointment and have now reached agreement to acquire the business and assets of Bell & Webster (in administration).\n \n\n\nEmployees\n \nEleco has been informed by FP McCann that of t...