Business
Sale and Leaseback of Belgian Distribution Centre
Victoria PLC has entered into a binding agreement to sell and lease back its Belgian distribution centre for EUR34.4 million, a figure in line with expectations. This transaction, which is expected to complete within 90 days, compares to a net book value of EUR5.6 million as of January 31, 2026, and the proceeds will be used to fully fund exceptional costs and capital expenditure associated with relocating the majority of Balta Rugs' manufacturing to Turkey, a project anticipated to yield benefits during the current financial year. Disclaimer*
About this update from Victoria Plc
Victoria PLC ('Victoria' or the 'Company') €34.4 million Sale and Leaseback of Belgian Distribution Centre Victoria PLC (LSE: VCP), the international designer, manufacturer and distributor of innovative flooring, is pleased to announce that it has entered into a binding agreement for the sale and lease back of its Belgian distribution centre to Avantage Property Holding BV, a fund managed by Alirec. The distribution centre will remain the key European distribution hub for Balta Rugs following the relocation of the majority of that company's manufacturing to Turkey. The gross consideration payable to the Company in cash at completion is expected to be EUR34.4 million, in line with the Company's expectations. Completion is expected within 90 days and is subject to customary conditions. The consideration compares to a net book value of the EUR5.6m as at 31 January 2026 and existing tax losses will be utilised to mitigate capital gains tax. The net cash proceeds will initially be retained on the Company balance sheet. Alongside two additional surplus property disposals, the proceeds are expected to fully fund the exceptional costs and capital expenditure associated with the transfer of manufacturing to Turkey. Geoff Wilding, Executive Chairman of Victoria, commented: "This agreement secures continued use of an important site while unlocking capital to mitigate the costs associated with expanding production capacity at Balta's Turkish plant and relocating the majority of its rug manufacturing to that site. This major project is expected to be completed and begin providing benefits during the current financial year." For more information contact: Victoria PLC Geoff Wilding, Executive Chairman Alec Pratt, Chief Financial Officer www.victoriaplc.com/investors-welcome Via Edelman Smithfield PR Singer Capital Markets (Nominated Adviser and Joint Broker) Rick Thompson, Phil Davies, James Fischer +44 (0)20 7496 3095 Berenberg (Joint Broker) Ben Wrig...