Business
Sale of 15 Acre Site in Telford
Sale of 15 Acre Site in Telford.
About this update from Michelmersh Brick Holdings Plc
[{"type":"text","content":"\n \nRNS Number : 6955Q Michelmersh Brick Holdings PLC 17 October 2013 \n \n\n17 October 2013\n \nMichelmersh Brick Holdings Plc\n(\"MBH\" or the \"Group\")\n \nSALE OF 15 ACRE SITE IN TELFORD, SHROPSHIRE\n \nMichelmersh Brick Holdings PLC (AIM: MBH), the specialist brick, land development and landfill company, is pleased to announce that it has completed the sale of the 15 acre former factory site adjacent to its brickworks in Telford, Shropshire, to Bovis Homes Limited, for a total consideration of £4.6 million in cash. The consideration is payable as to £1.6 million on completion, with £3.0 million payable in equal instalments on the first and second anniversary of completion. The net proceeds will be used to reduce the Group's borrowings and to meet the cost of the site re-organisation and taxation arising from the sale.\n \nThe Group's audited accounts for the year ended 31 December 2012 included this plot of land under \"current assets land for sale\" at a value of £3.35 million, being the estimated sales proceeds less the associated costs of the sale and estimated costs of reconfiguration of the continuing operational brickworks site.\n \nMartin Warner, CEO of MBH said: \"Completion of the sale of this land is extremely satisfying and is a sound reward for the hard work of our planning and development team. We now move on to address other land assets and maximise their value to the Group.\n \n\"We are, however, principally a brick manufacturer and we continue to compete strongly in a market that is showing signs of price recovery. The upturn in demand we have seen over the past few months is encouraging us to invest in our existing plants to increase capacity and efficiency, which will, in due course, increase Group revenue.\"\n \nFor further information:\nMartin Warner, CEO, Michelmersh Brick Holdings 01442 870 227\nStephen Morgan, Finance Director, Michelmersh Brick Holdings 0774 8900286\nBobbie Hil...