30th Jun 2016 07:15
LONDON (Alliance News) - Avingtrans PLC on Thursday said it will return nearly GBP28.0 million to shareholders via tender offer following the asset disposal it announced in May.
In May, Avingtrans, which manufactures components for the medical and energy industries, sold its aerospace division to a company controlled by funds managed by Silverfleet Capital Partners LLP.
Avingtrans got GBP52.0 million in net proceeds from the sale in cash and, on Thursday, said it will return GBP28.0 million of this to shareholders through a buyback.
The rest of the proceeds will be used to invest in the company's energy and medical divisions.
"I am pleased to be able to provide more detail on the return of substantial value to shareholders while also reiterating our intention to make additional investment and acquisitions in the energy and medical businesses. The board believes there are several exciting prospects which have the potential to deliver significant further value for shareholders," said Chief Executive Steve McQuillan.
Avingtrans shares were up 0.9% to 167.00 pence early Thursday.
By Sam Unsted; [email protected]; @SamUAtAlliance
Copyright 2016 Alliance News Limited. All Rights Reserved.
Related Shares:
Avingtrans