9th Oct 2006 17:17
Capcon Holdings PLC09 October 2006 9 October 2006 Capcon Holdings plc("Capcon" or "the Company") Disposal of a non-core business unit The Directors are pleased to announce the disposal of the business and assets ofCapcon Surveillance Bureau Limited ("CSB"), a wholly owned subsidiary of Capcon,to Bureau of Specialised Services Limited a company owned by Mr Stephen Cook, adirector of CSB. In the year to September 2005, CSB had sales of £77,900 and made trading lossesof £125,600; and the losses as derived from unaudited management accounts, forthe eleven months to 31 August 2006 have amounted to £78,600. The approximatevalue of the assets being sold is £10,000. The consideration for the disposal is £215,000 in total, split as to £50,000 oncompletion (including £40,000 for the licensing of the name) and a further£165,000 in license payments spread over 6 years at £27,500 pa. All amounts arepayable in cash. Mr Stephen Cook is a director of CSB and this sale is therefore a related partytransaction. The directors of Capcon, who have consulted with Insinger deBeaufort, consider the terms of the disposal of the business and assets of CSBto be fair and reasonable in so far as shareholders are concerned. In itsdiscussions with the Company, Insinger de Beaufort has taken into account thecommercial assessments of the directors in relation to the disposal. CSB, which carries out surveillance on behalf of insurance groups, is peripheralto Capcon's main businesses and the disposal will stem any further losses fromthis unit. Capcon Holdings plcCliff Cavender, Managing DirectorTel: 020 7349 5356 Insinger de BeaufortLouis CastroTel: 020 7190 7000 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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