Business
Proposed disposal of RMSpumptools business
Proposed disposal of RMSpumptools business.
About this update from James Fisher And Sons Plc
[{"type":"text","content":"\n\nJames Fisher and Sons plc \n22 March 2024\nNOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION\nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION\nFor immediate release\n \n22 March 2024\n \nJames Fisher and Sons plc\nProposed disposal of RMSpumptools business\nJames Fisher and Sons plc (FSJ.L) (\"James Fisher\" or the \"Company\" and, together with its subsidiaries, the \"Group\"), today announces that it has entered into an agreement for the sale of the entire issued share capital of RMSpumptools Limited (\"RMS\") to ChampionX UK Limited, a wholly-owned subsidiary of ChampionX Corporation (\"ChampionX\" or the \"Purchaser\") for a total enterprise value of £90 million (the \"Disposal\").\nTransaction highlights\n· Agreement to sell RMS to the Purchaser for a total enterprise value of £90 million;\n· The Disposal value implies a multiple of approximately 7.4 times RMS's estimated EBITDA for the 12-month period ended 31 December 2023;\n· After taking into account cash-like and debt-like items and estimated transaction costs, the net proceeds are expected to be approximately £83 million in cash, subject to certain customary closing adjustments (the \"Net Proceeds\");\n· The Net Proceeds will be used to reduce leverage and strengthen the Group's balance sheet. The Disposal is expected to support a reduction in leverage towards a target range of 1.0 to 1.5 times Net Debt to EBITDA;\n· The Disposal is in line with James Fisher's strategy to simplify and focus its portfolio throug...