Business
Sale of Land at Telford
Sale of Land at Telford.
About this update from Michelmersh Brick Holdings Plc
[{"type":"text","content":"\n \nRNS Number : 7325F Michelmersh Brick Holdings PLC 29 May 2013 \n \n\n29 May 2013\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 exchanged contracts with Bovis Homes Limited on the sale of the 15 acre former factory site adjacent to its brickworks in Telford, Shropshire 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, which is expected to take place within four months, after satisfaction of certain conditions. 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 brickwork site.\n \nThe Group will now seek to bring to completion the planning matters relating to the 15 acres of land ready for disposal under the Persimmon Option agreement, which should benefit from the precedent set by the above sale.\n \nMartin Warner, CEO of MBH said: \"The Board is pleased to achieve the disposal of this parcel of land which now allows the Group to proceed with the ongoing development of brick manufacturing, landfill and other development opportunities both at the Telford site and elsewhere in the Group.\"\n \nFor further information:\n\n\n\n\n Martin Warner, CEO, Michelmersh Brick Holdings\n\n\n01442 870 227\n\n\n\n\nStephen Morgan, Finance Director, Michelmersh Brick Holdings\n\n\n0774 8900286\n\n\n\n\nTom Griffiths, Westhouse Securities\n\n\n020 7601 6100\n\n\n\n\nJeremy Carey/Amy Walker, Tavistock Communications\n\n\n020 7920 3150\n\n\n\n\n \nNotes to Editors:\nMichelmersh Brick Holdings PLC is the holding company for Michelmersh Brick UK Ltd, a business with five leading market brands: Michelmersh, Charnwood, Blockleys, Hathern Terr...