30th Sep 2014 08:19
LONDON (Alliance News) - Support services company DCC PLC Tuesday said it will sell its Robert Roberts and Kelkin businesses to Irish foods company Valeo Foods For EUR60 million, or GBP47 million, on a debt- and cash-free basis.
In a statement, the sales, marketing and distribution company said it expects to book a modest gain on the disposal over the carrying value of the assets including goodwill.
Robert Roberts is a supplier of own brand and agency branded food and beverage products in the indulgence categories, while Kelkin is a supplier of ambient healthy foods, beverages, fine foods and vitamins, minerals and supplements. They both operate principally in Ireland.
In the year to March 31, the businesses generated combined revenue of EUR120 million, or GBP101 million, and combined operating profit of EUR7.3 million, or GBP6.2 million, representing about 80% of the operating profit of DCC's food & beverage division. DCC's food & beverage division represented 3.7% of DCC's operating profit.
DCC shares were flat at 3,393.00 pence Tuesday morning.
By Steve McGrath; [email protected]; @stevemcgrath1
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