Business
Signing of £48 million put option agreement
Signing of £48 million put option agreement.
About this update from Roadside Real Estate Plc
[{"type":"text","content":"\n\nThis announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 (\"MAR\"), and is disclosed in accordance with the company's obligations under Article 17 of MAR.\n \n26 June 2025\n \nROADSIDE REAL ESTATE PLC\n(\"Roadside,\" the \"Company\" or the \"Group)\n \nSigning of £48 million put option agreement\n \nRoadside, (AIM: ROAD) the roadside real estate business, announces that it has signed a put-option agreement with CGV Ventures 1 Ltd that will enable the Company to realise a minimum of £48 million from the future sale of its remaining 48.2% interest in Cambridge Sleep Sciences Ltd (\"CSS\"). This follows the announcement on 18 February 2025 of the successful results of a second clinical trial of CSS's SleepEngine technology, demonstrating its effectiveness in helping to improve the quality of adult sleep.\n \nUnder the agreement, Roadside has the right to sell its remaining 48.2% interest in CSS to CGV Ventures 1 Ltd (\"CGV\") in certain periods between 1 September 2026 and 30 September 2027 for consideration of not less than £48 million, subject to any Roadside shareholder approval required at the time of exercise. Up to 50% of Roadside's current interest in CSS can be sold to CGV in the period from 1 September 2026 to 30 September 2026, with the remaining interest capable of being sold in the period from 1 September 2027 to 30 September 2027. Roadside has paid CGV a nominal consideration of £1 for the option. Cash will flow when each sale completes.\nThe Company retains flexibility to explore alternative exit routes and intends to complete the divestment whilst aiming to maximise value for shareholders. Assuming the option agreement is exercised for the minimum consideration of £48 million, Roadside would recognise a profit on disposal of its remaining interest in CSS that exceeds £7 million in aggregate across the financial periods ending 30 September 2026 and 30 September 2027.\nEffect on Roadside\nThe Board currently anticipates that the majority of the proceeds from the anticipated CSS exit will be used to fund Roadside's ongoing transition into a high-growth operational real estate platform. This strategic milestone will therefo...