API Group PLC Pre Close Trading Update and Response to Shareholders' Letters
March 30 2012 - 2:01AM
UK Regulatory
TIDMAPI
For release 30 March 2012
API Group plc
Pre Close Trading Update and Response to Shareholders' Letters
Pre Close Trading Update
The Board of API Group plc (the "Group" or the "Company") today issues the
following update on trading for the financial year ending 31 March 2012 (the
"Period"), before entering the close period ahead of the Company's final results
announcement expected on or around 30 May 2012.
The Board anticipates that full year trading results for the Period will be in
line with management's expectations, with sales 14% ahead of last year at
approximately GBP114m.
The Group's net debt position is predicted to close the year favourably, with
net debt below the GBP8.5m reported at 31 March 2011.
The Laminates, Holographics and Foils Americas business units have all performed
well and delivered year-on-year growth in profits. At Foils Europe, weaker
volumes offset the impact of margin recovery due to lower raw material costs.
The Group's operations are carrying good momentum into the new financial year in
terms of order book and pipeline of new sales opportunities.
In Laminates, the installation of new production capacity to support the
previously announced five year supply agreement with a major consumer goods
customer is well advanced and the project is on track to commence supplies
during the first quarter of the new financial year.
Response to Shareholders' Letters
On the 8th and 9th February 2012, the Board received open letters from its two
largest shareholders, Steel Partners Holding L.P. and Wynnefield Capital Inc,
suggesting that an auction process be commenced with the aim of securing a
general offer for the Company's shares (the "Proposal").
The Board has given careful consideration to the Proposal, taken financial
advice and consulted with its major shareholders. Consistent with previous
announcements, the Board expects significant incremental volume growth
associated with the Laminates investment referred to above. Barring unforeseen
developments, the Board has concluded that it would be in the interests of
shareholders to explore a sale process during the third quarter of calendar
2012 when the benefits of that project are more visible and will update the
market on the formal commencement of any such process.
In the event that the situation changes and any announcement is required, the
Company will notify the market without delay.
API Group plc Tel: +44 (0)
1625 650334
Andrew Turner, Group Chief Executive
Chris Smith, Group Finance Director
Numis Securities - Broker Tel: +44 (0) 20 7260 1000
James Serjeant
Cairn Financial - Nominated Adviser Tel: +44 (0) 20 7148 7900
Tony Rawlinson
Avi Robinson
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: API Group PLC via Thomson Reuters ONE
[HUG#1598528]
Abrdn Property Income (LSE:API)
Historical Stock Chart
From Jun 2024 to Jul 2024
Abrdn Property Income (LSE:API)
Historical Stock Chart
From Jul 2023 to Jul 2024