Business
Disposal and trading update
Disposal and trading update.
About this update from Halma Plc
[{"type":"text","content":"\n Halma PLC\n28 February 2006\n\n\n\n\n Halma p.l.c. ('Halma')\n\n\n\n SALE OF RESISTOR BUSINESSES AND UPDATE ON CURRENT TRADING\n\n\n\n\nHalma, the leading safety, health and sensor technology group, announces that on\n27 February 2006 it completed the disposal of the high power Resistor businesses\nfrom its Industrial Safety sector to subsidiaries of Telema SpA, based in Milan,\nItaly for a cash consideration of US$17.7 million and €5.0 million\n(approximately £13.5 million).\n\n\n\n\n\nThis disposal follows closely upon the sale on 13 December 2005 of Secomak\nLimited to Secomak Holdings Limited for £1 million cash with an additional\nconsideration of £500,000 over the next six years, and the sale on 29 December\n2005 of Marathon Sensors Inc. to Marathon Multinational Industries Corp. for $1\nmillion cash with an additional consideration of $300,000 over the next four\nyears (approximately £0.7 million in total).\n\n\n\n\n\nCommenting on the above changes, Andrew Williams, Group Chief Executive, said:\n\n\n\n\n\n'These latest disposals give further evidence of the strategic action being\ntaken to transform Halma into a business capable of delivering higher growth and\ncontinuing strong returns for shareholders. Whilst the businesses being sold\nhave generated value over many years, I believe they are better placed under new\nownership and Halma's shareholders are better served by us concentrating more of\nour resources on our core business sectors.\n\n\n'In June 2005, I signalled our intention to review all strategic options for\nthese businesses. This review and our success in improving the performance of\nour Resistor businesses have proven fruitful and resulted in the successful sale\nto Telema, who already have a leading presence in the high power resistors\nmarket. The Board believes that the Group has realised full and fair value for\nthese businesses through this transaction.\n\n\n\n\n\n'Following these disposals more than 60% of our ongoing sales relate to\nElectrical or Electronic products. Halma now has a more focussed portfolio with\na greater proportion of our resources allocated to sectors delivering higher\nrates of return and offering more attractive growth prospects.'\n\n\n\n\n\n\n\n\n\nCurrent trading remains strong\n\n\n\n\n\nSales and orders have continued to grow year-on-year. The Group is currently...