Stanley Gibbons Group PLC Sale of Interiors Division (3402S)
October 02 2017 - 2:00AM
UK Regulatory
TIDMSGI
RNS Number : 3402S
Stanley Gibbons Group PLC
02 October 2017
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES
OF ARTICLE 7 OF EU REGULATION 596/2014
THE STANLEY GIBBONS GROUP PLC
(the "Group" or "Company")
Sale of Interiors Division
On 9 May 2017, the Board announced the sale of a major part of
the Interiors division to Millicent Holdings Limited ("Millicent"),
which transaction subsequently failed to complete, as reported on 4
August 2017.
The Board is today pleased to confirm completion of the sale of
Dreweatts 1759 Limited. The sale is to Gurr Johns Limited ("Gurr
Johns") for a consideration of GBP1.25m paid in cash on completion,
plus a maximum additional consideration of GBP0.4m, payable over
the next 24 months (alongside the assumption of certain other
liabilities currently associated with the Interiors division).
Certain assets and liabilities of Dreweatts and the intellectual
property rights and goodwill in respect of the Mallett brand, all
part of the Group's Interiors division were transferred to
Dreweatts 1759 Limited on 31July 2017 in anticipation of the
proposed sale to Millicent. However, the sale to Gurr Johns does
not include the Mallett and Made by Meta brands (which have been
transferred back to the Group), although the disposal does include
the Group's Bloomsbury Auctions brand).
In addition to the Mallett and Made by Meta brands, the Group
retains Mallett inventory, against which Gurr Johns has agreed an
interest free advance of GBP300,000 ahead of an auction currently
planned for November 2017. The Group also retains the benefit of
the rental income from the former Mallett New York premises, which
will allow the Group to derive additional benefit from the
remaining assets of the Interiors division in the coming years.
As announced on 4 August, a termination fee is now payable to
the Company by Millicent under the terms of the relevant agreement
and the Company intends to seek recovery of this by enforcing
certain collateral that was provided to the Company.
The proceeds of the sale from the disposal of the interiors
division will be used to provide additional working capital for the
Group.
The Company has also today announced its results for the year
ended 31 March 2017 which are available on the Company's website
and set out in full in a separate announcement.
Enquiries:
The Stanley Gibbons Group plc
Harry Wilson +44 (0)207 836
Andrew Cook 8444
finnCap Ltd (Nomad and Broker)
Stuart Andrews / Christopher Raggett +44 (0)20 7220
/ Anthony Adams (corporate finance) 0500
Yellow Jersey PR (Financial PR) +44 (0)7747
Charles Goodwin 788 221
This information is provided by RNS
The company news service from the London Stock Exchange
END
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