Disposal

RNS Number : 6470E

M. P. Evans Group PLC

20 July 2016

 

M.P. EVANS GROUP PLC

("MP Evans" or "the Group")

SALE OF SHAREHOLDING IN THE NORTH AUSTRALIAN PASTORAL COMPANY PTY LIMITED ("NAPCo")

Further to the announcements on 6 May and 10 June 2016, the board of M.P. Evans Group PLC ("MP Evans" or "the Group") is pleased to announce that the sale of the Group's 34.37% stake in NAPCo, an Australian cattle operator, has now been completed and cleared funds in respect of the gross sale consideration of A$107 million (US$82 million) will be received shortly.

It is planned that the net sale proceeds, after payment of Australian tax and costs associated with the sale, will be applied towards the significant capital-investment programme scheduled in respect of the Group's existing unplanted areas of land in Indonesia as well as prospective investment in new sustainable land, ideally located close to the Group's existing oil-palm operations.  Some potential new projects are closely under review in this regard. 

In addition the board will pay a special dividend of 5 pence per share on 17 August 2016.

Commenting on the transaction, MP Evans chairman, Peter Hadsley-Chaplin, said 'The sale of NAPCo and consequent exit by MP Evans from Australia represents an important landmark in the Group's history.  The proceeds from the sale will enable continued expansion within the Indonesian palm-oil sector and additional economies of scale to be achieved.  In the meantime, we wish the management and staff and both continuing, and new, shareholders of NAPCo every success in the future'.

20 July 2016

Enquiries:

M.P. Evans Group PLC	Telephone: [phone]
Peter Hadsley-Chaplin - chairman
Tristan Price - chief executive
Matthew Coulson - chief financial officer
Peel Hunt LLP	Telephone: [phone]
Dan Webster
Adrian Trimmings
George Sellar
Hudson Sandler	Telephone: [phone]
Charlie Jack
Katie Matthews
Bertie Berger

 

END

 

 

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