ESKEN LIMITED

Declaration of Voting Results & Voting Rights Announcements • May 26, 2016

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RNS Number : 3439Z

Stobart Group Limited

26 May 2016

Stobart Group Limited

26 May 2016

STOBART GROUP LIMITED

("Stobart" or the "Group")

Property Disposal

Stobart, the infrastructure and support services group, announces that further to the announcement of 29 March 2016, it has today unconditionally exchanged contracts for the sale of 47 acres of an investment property at Speke in Liverpool, for a cash consideration of £37.0m plus VAT.

The Group's intention was to hold all of the 53-acre site as an investment property however it was recognised that Ford Motor Company Limited ("Ford") the tenant required an Option to acquire 47 acres of the site as part of an Agreement to Lease that was signed on 29 March 2016. Ford has today exercised the option to acquire and completion will take place on 31 May 2016.

The part of the site that Ford are acquiring which cost £15.6m, is held on the Group's balance sheet at £25.2m and generated an annual rental profit of £0.7m. The sale will result in a significant profit of approximately £11.8m for the Group in the current financial year.

The Group will assess its future funding requirements and consider returning surplus cash to shareholders.

Andrew Tinkler, Chief Executive Officer commented:

"We are very pleased to have realised further value and generated significant profits from our investment property portfolio with a transaction that demonstrates the hidden value within our infrastructure and investment divisions."

Enquiries:

Redleaf Communications	+44 20 7382 4730
Charlie Geller	[email protected]
Emma Kane Harriet Lynch
influence Associates	44 20 7287 9610
Stuart Dyble James Andrew

This information is provided by RNS

The company news service from the London Stock Exchange

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