Business
Proposed Disposal of Green Street Property
Proposed Disposal of Green Street Property.
About this update from Victoria Plc
[{"type":"text","content":"\n Victoria PLC\n23 November 1999\n\n\nVictoria P.L.C. - Proposed Disposal of Green Street Property\n\nThe Board is pleased to announce that it expects to post to\nshareholders today a circular (the 'Circular') seeking\nshareholder approval to the proposed disposal (the 'Disposal')\nof the Company's Green Street Property (the 'Property').\n\nIntroduction\n\nThe Board announced on 23 December 1998 that the Company had\nentered into a conditional agreement for the sale of its\nfreehold property in Green Street, Kidderminster to Morbaine\nLimited. The aggregate consideration receivable is £3.0\nmillion. Of this, £25,000 was paid in cash on 30 December\n1998, £150,000 in cash is due on the Property sale agreement\nbecoming unconditional, and £2,825,000 in cash is due on\ncompletion.\n\nA further announcement was made by the Board on 28 October\n1999 that outline planning consent had been granted by the\nlocal authority, thus satisfying a major pre-condition of the\nDisposal. Certain other conditions still remain to be\nsatisfied before the Disposal can be completed, including the\nrequirement for shareholder approval of the Disposal. As the\nBoard is communicating its interim results to shareholders\ntoday, it is taking this opportunity to seek this approval now\neven though certain conditions remain to be satisfied. It is\nnot currently possible, however, to give a firm completion\ndate.\n\nThe Circular will provide the background to and reasons for\nthe Disposal and explain why the Directors consider the\nDisposal to be in the best interests of Victoria.\n\nBackground to and reasons for the Disposal\n\nThe Group's operations at Kidderminster are at present\nconducted from three separate sites in the town. The Green\nStreet Property was the earliest to be acquired by the Company\nin 1910 and comprises a complex of buildings fronting on the\neast side of Green Street, which are now unsuitable for the\nGroup's modern manufacturing methods. The site is adjacent to\nKidderminster Town Centre and situated within the ring road\nknown as The Ringway. Over a number of years, nearly all of\nthe manufacturing process and warehousing have been moved to\nour other major site on the Worcester Road, where a\nsubstantial building programme has been carried out to match a\nsignificant investment in modern plant. The latest phase of\nbuilding at th...