2nd Dec 2015 17:41
LONDON (Alliance News) - Nature Group PLC on Wednesay said it has signed a conditional deal to sell its operations in Gibraltar, with proceeds from the disposal to be used to fund expansion in areas such as oil and gas, maritime assets and port reception facilities in new regions along major shipping lines.
Neither the buyer nor the value of the sale was disclosed, owing to the fact that the agreement remains subject to continued negotiation, due diligence and the need for a binding deal. There is no certainty the deal will conclude, the company said.
"After a long relationship providing port reception facilities in Gibraltar, it is with regret that the board have decided that it is in the best interests of shareholders to progress the proposed sale, having received what we believe is a good offer for the local Nature business," Chairman Nigel Sandy said in a statement.
"After revisiting the local market opportunities and considered the cost of rebuilding the storage and treatment facilities, it was clear that this would not be a profitable use of shareholder funds when compared to alternative opportunities available to the group," Sandy said.
The Nature Port Reception Facilities Ltd business made a loss before tax of GBP1.8 million in 2014.
Shares in Nature Group closed up 6.4% to 11.83333 pence on Wednesday.
By Samuel Agini; [email protected]; @samuelagini
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