Hill & Smith PLC

Regulatory Filings • Aug 19, 2014

National Storage Mechanism | Additional information

You don't have Javascript enabled. For full functionality this page requires javascript to be enabled.

RNS Number : 4503P

Hill & Smith Hldgs PLC

19 August 2014

Hill & Smith Holdings PLC ('Hill & Smith' or 'the Group')

Disposal of non-core businesses

Hill & Smith, the international group with leading positions in the supply of infrastructure products and galvanising services to global markets, announces that on 18 August 2014 it completed the sale of its wholly owned subsidiary Bromford Iron & Steel Company Limited ('Bromford') and the business and assets of JA  Envirotanks ('Envirotanks'), a trading division of Joseph Ash Ltd (together the 'Disposal').  Bromford has been sold to Offshore Sourcing Limited and Envirotanks to Offshore ETKS Limited, who own other steel related manufacturing businesses.

Net disposal proceeds were £1.5m, of which £0.8m was received at completion with the balance of £0.7m being payable over the following 2 years.

Bromford  is a long established  producer of hot rolled steel, used in the manufacture of industrial flooring and specialist steel for chain and horseshoe manufacture.  Envirotanks is a small niche market supplier of storage tanks for industrial applications. In 2013 the two businesses had  combined revenue of £15.5m and operating losses of £0.6m.  The assets and liabilities of the businesses were treated as held for sale in the Group's interim results to 30 June 2014 and valued at their expected net disposal proceeds of £1.5m.

Commenting on the Disposal, Derek Muir, Chief Executive of Hill & Smith, said:

'The Disposal is in line with our strategy of focusing on our core activities, improving financial performance metrics and creating scalable business units that can drive and deliver further growth'.

Enquiries:

Derek Muir

Chief Executive

Hill & Smith Holdings PLC

Tel: +44 (0)121 704 7430

This information is provided by RNS

The company news service from the London Stock Exchange

END

DISBLGDIIUBBGSI