Business
Conditional Sale - Saunderton
Conditional Sale - Saunderton.
About this update from Mpac Group Plc
[{"type":"text","content":"\n Molins PLC\n18 July 2007\n\n\n\n\n18 July 2007 FOR IMMEDIATE RELEASE\n\n MOLINS PLC\n\n Conditional Sale of Saunderton Site\n\n\nOn 17 July 2007 Molins PLC signed a conditional contract to sell its 26 acres of\ndeveloped land and buildings together with 25 acres of agricultural land at\nSaunderton, Bucks ('the Site'). The contract provides that on satisfaction of a\nnumber of conditions, e-shelter facility services GmbH ('the Buyer'), will\nacquire the freehold interest in the Site for a consideration of £18.85m, or\n£18.35m if completion of the transaction is before 30 November 2007. On\ncompletion, Molins will lease approximately 5,000 square metres of building\nspace on a rent-free basis for up to three years to continue its current\nactivities.\n\nThe contract provides that the Buyer has a period of exclusivity during which it\nwill seek to satisfy various practical conditions relating to the Site. Once\nthese conditions have been satisfied, the consent of shareholders in general\nmeeting will be sought, which is required in view of the size of the transaction\nrelative to Molins. The receipt by the Buyer of satisfactory planning\npermission for its development scheme is also a condition to the contract.\n\nThe Buyer has paid Molins £100,000 as a non-returnable deposit. Further\ndeposits may subsequently become due depending on the time taken to satisfy the\npractical conditions above. The Buyer may serve one month's notice to terminate\nthe conditional contract at any time up to the point that all of the Buyer's\nconditions, except receipt of planning permission, have been satisfied.\n\nAt 31 December 2006 the book value of the assets subject to the transaction was\n£13.3m before deferred tax. Rental income from the Site of £0.2m was received\nby Molins in the year to 31 December 2006. The net proceeds from the sale of\nthe Site, which are estimated to be approximately £16m after tax and expenses,\nwill be used to repay debt and to fund the working capital requirements of the\nGroup.\n\ne-shelter facility services GmbH is a German based company, owned by Investa\nImmobiliengruppe, a privately owned project development firm that has managed\ninvestments in excess of €3 billion since its inception. e-shelter is the\nlargest provider of data centre services in Germany and the intended purchase of\nthe Site is part o...