Wincanton plc ('Wincanton') 07 March 2012
Wincanton announces the disposal of its investment in Culina
Wincanton, a leading provider of supply chain solutions in the UK & Ireland,
announces that it disposed of its 20 per cent investment in Culina Logistics
Limited ('Culina') to Culina Group Limited for a cash consideration of £11m on
6 March 2012.
The investment in Culina resulted from the Company merging its chilled
consolidation activities in the UK with Culina in March 2009. Culina provides
primarily chilled logistics solutions to the food and drink industry across the
UK.
The book value of Wincanton's investment in Culina, which is accounted for as
an associate, is £14.5m and the profit after tax attributable to the Company's
investment for the year to 31 March 2011 was £1.2m.
The disposal is in line with the Company's strategic objective of reducing its
existing level of debt through the disposal of specific non-core operations.
The net cash proceeds from the disposal will be used to reduce the Company's
debt.
Eric Born, Chief Executive, commented
"This is another important step in the reduction of our debt through the
disposal of non-core investments and allows us to focus our attention on
delivering profitable growth in the UK & Ireland business in the future."
Ends
For further information, please contact:
Wincanton plc
Eric Born, Chief Executive - 01249 710 000
Jon Kempster, Group Finance Director - 01249 710 000
Buchanan
Charles Ryland / Jeremy Garcia / Catherine Breen - 020 7466 5000
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