Business
Proposed Disposal of France Galva SA
Proposed Disposal of France Galva SA.
About this update from Hill & Smith Plc
[{"type":"text","content":"\n \n \n THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION\n \n \n FOR IMMEDIATE RELEASE\n \n \n 25 July 2022\n \n \n \n \n \n \n Hill & Smith Holdings PLC\n \n \n \n \n Proposed Disposal of France Galva SA\n \n \n \n \n \n \n \n \n \n \n \n Hill & Smith Holdings PLC (\"Hill & Smith\", \"the Group\", \"our\" or \"we\"), the international group creating sustainable infrastructure and safe transport through innovation, announces the proposed disposal of its French galvanizing and steel lighting column operations, France Galva SA (\"France Galva\"), to a consortium comprising ZINQ France SAS (\"ZINQ\") and Sofigalva SAS (\"Sofigalva\"), for a net equity purchase price of €72.6m (c.£61.5m1) (the \"Proposed Disposal\").\n \n \n \n \n \n \n Transaction highlights\n \n \n \n · \n The Proposed Disposal is expected to be immediately enhancing to the Group's growth profile and operating profit margin.\n \n \n ·\n French Works Council consultations and employee-related information processes are required in connection with the Proposed Disposal, which is also conditional upon approval by Hill & Smith shareholders.\n \n \n ·\n Subject to the receipt of satisfactory notifications and approvals, and assuming Hill & Smith decides to further consider the Proposed Disposal, completion of the Proposed Disposal and receipt of proceeds would be expected in Q4 2022.\n \n \n \n \n \n Alan Giddins, Executive Chair, said:\n \n \n \"The proposed disposal of France Galva is in line with the Group's strategy of focussing our capital into higher growth markets. While galvanizing continues to be an important part of our long-term plans, we see the UK and US as offering better growth opportunities. The completion of the Proposed Disposal would provide the Group with additional financial firepower to support our organic and inorganic growth ambitions and would serve the best interests of our shareholders.\"\n \n \n The Proposed Disposal would constitute both a Related Party and Class 2 transaction for the purpose of the Financial Conduct Authority's Listing Rules. Following completion of the French Works Council consultations and employee-related information processes, we anticipate that a circular and notice of General Meeting will be posted to shareholders. A further announcement will be made on posting.\n ...