3rd Oct 2006 07:00
Fuller,Smith&Turner PLC03 October 2006 3 October 2006 FULLER, SMITH & TURNER P.L.C. Sale of The Brigstow Hotel, Bristol Fuller, Smith & Turner P.L.C. ("Fuller's") announces today that it has exchangedcontracts with a company within the Pedersen Group (the "Acquirers"), to sellThe Brigstow Hotel for £17.09m. The Acquirers run several specialised hoteloperations in the UK, sometimes leased out to other hotel groups. The four-star Brigstow Hotel has been very successful since it opened in August2001. It has consistently performed well and has an excellent reputation. The hotel, located in Bristol, was a unique development for Fuller's but it isunlike any other hotel in the Fuller's estate. Therefore, having received a goodoffer for the hotel, Fuller's believes it is the right time to sell it. The disposal will allow Fuller's Inns to retain its focus on the moretraditional pubs and hotels market, including the 21 hotels and accommodatinginns, which form part of the recently combined Fuller's/Gales estate. Completion of the hotel sale is expected to be on 31 October 2006. Theconsideration, which will be payable in cash, will be used in the medium-term toacquire additional sites for the Fuller's estate currently comprising 361 pubsand hotels and, in the short-term, to reduce debt. The Brigstow's net book asset value and profits in the financial year to 1stApril 2006 were £9.3m and £0.7m respectively. An exceptional pre-tax profit ofapproximately £7.5m will be generated which, owing to the anticipatedavailability of roll over relief, will only have a deferred tax liability underIFRSs. Michael Turner, Chief Executive of Fuller's, said: "The acquisition of Gales has provided us with the opportunity to review ourestate with a view to selectively unlocking value from our significant assetbase. As a result, we believe this is the optimum time for us to sell thisunique hotel. The disposal of The Brigstow will allow us to realise substantialvalue for our shareholders while maintaining our focus on our core offering andour strategy of long-term growth. " For further information, please contact: Fuller, Smith & Turner P.L.C. 020 8996 2048Michael Turner, Chief Executive PressSimon Emeny, Managing Director Fuller's Inns PressPaul Clarke, Finance Director AnalystsPress Office ([email protected]) 07831 299 801 / 07748 657 854 Merlin 020 7653 6620Rebecca Penney 07795 108 178Vanessa Maydon 07802 961 902 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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