Business
Disposal of investment
Disposal of investment.
About this update from Norcros Plc
[{"type":"text","content":"\n RNS Number : 8157M Norcros PLC 01 June 2010 \n \n\n \n \nNorcros plc\n(\"Norcros\", or the \"Group\")\n \n \nDisposal of investment\n \n \nDisposal of investment in RJ Beaumont & Co Pty Limited\n \nNorcros announces that it has signed an agreement to sell its 25.5 per cent interest in RJ Beaumont & Co Pty Limited (\"Beaumont\"), its trade investment in Australia, for a consideration of Aus$7.75 million to Beaumont by means of a selective share reduction.\n \nBeaumont is primarily involved in the sale of ceramic tiles and adhesives in Australia. In the Group's accounts for the year ended 31 March 2009, Beaumont made dividend payments to the Group of £36,000 (2008: £71,000). \n \nTerms of the transaction\n \nThe cash consideration to be paid is approximately £4.3 million, net of costs of approximately £0.1m. \n \nThe payment of the consideration to the Group will be made following completion of the share reduction procedure. Due to Australian law requirements, completion of the transaction and payment of the consideration cannot take place until fourteen days after completion of the share reduction documentation. Completion of the transaction is expected to occur no later than 30 June 2010.\n \nThe carrying value of the investment in the Group's balance sheet as at 31 March 2009 was £1.7 million. A profit on disposal of £2.6 million will, accordingly, be reported in the Group's financial statements for the year ended 31 March 2011. This disposal realises value from the Group's investment and the net proceeds will be used to reduce debt and associated interest costs. The Group's net debt at the end of March 2010 was £15.9 million.\n \n1 JUNE, 2010\n \nENQUIRIES\n \n \n\n\n\n\nNorcros plc\nJoe Matthews, Group Chief Executive\nNick Kelsall, Group Finance Director\n\n\n01625 549 010\n\n\n\n\nOriel \nEmma Griffin / David Arch / Jonathan Walker\n\n\n020 7710 7600\n\n\n\n\nCollege Hill\nMark Garraway / Adam Aljewicz\n\n\n020 7457 2020\n\n\n\n\n \nFor further information please visit the Company website:\nwww.norcros.com\n \n\nThis information is provided by RNSThe company news service from the London Stock Exchange END DISSSWSIFFSSEDM\n ","length":4564,"tagName":"div"}]