Completion of Property Purchase

RNS Number : 7665R

RUA Life Sciences PLC

02 July 2020

 

RUA Life Sciences Plc

("RUA Life Sciences", the "Company" or the "Group")

Completion of Property Purchase

RUA Life Sciences, the holding company of a group of medical device businesses focused on the exploitation of the world's leading long-term implantable biostable polymer (Elast-Eon^TM), is pleased to announce completion of the purchase of a factory unit and associated cleanroom facilities at Skye Road Prestwick.

In the Company's circular to shareholders dated 11 March 2020 (the "Circular"), it was disclosed that RUA Medical Devices Limited ("RUA"), a wholly owned subsidiary of the Company, would purchase the property at 6 Skye Road, Shawfarm Industrial Estate, Prestwick (the "Property") from Glenavon Estates (a partnership of David Richmond's wife and daughter), for a consideration of £205,000 (excluding VAT), to be satisfied in cash. In addition, the Offer to Sell (as defined in the Circular) gives RUA the option, over a two year period from the date of transfer of title to RUA, to sell the Property back to Glenavon Estates for a consideration of £203,980 (excluding VAT) in cash. The purchase of the Property was a related party transaction given the relationship between the vendor and David Richmond, the Group CEO of RUA Life Sciences, and, consequently shareholder approval was obtained at the Company's general meeting held on 31 March 2020. The purchase of the Property completed on 30 June 2020 when title transferred to RUA.

Bill Brown, Chairman of RUA Life Sciences, commented : "I am pleased that RUA now owns all of its production facilities and we have been able to reduce our ongoing cash costs as the annual maintenance costs of servicing the loan taken out to finance the purchase is less than the commercial rental value of the property."

For further information contact:

RUA Life Sciences

Bill Brown, Chairman                                  Tel: [phone]                                   

Shore Capital 

Tom Griffiths/David Coaten                        Tel: [phone]

About RUA Life Sciences

The RUA Life Sciences group was created in April 2020 when RUA Life Sciences Plc (formerly known as AorTech International Plc) acquired RUA Medical Devices Limited to create a fully formed medical device business. RUA Life Sciences is the holding company of the Group's four trading businesses, each exploiting the Group's patented polymer technology.

Our vision is to improve the lives of millions of patients by improving and enabling medical devices with Elast-Eon^TM, the world's leading long-term implantable polyurethane.

Whether it is licensing Elast-Eon^TM, manufacturing a device or component or developing next generation medical devices, a RUA Life Sciences business is pursuing our vision.

Elast-Eon™'s biostability is comparable to silicone while exhibiting excellent mechanical, blood contacting and flex-fatigue properties. These polymers can be processed using conventional thermoplastic extrusion and moulding techniques. With over 7 million implants and over 14 years of successful clinical use, RUA's polymers are proven in long-term life enabling applications.

The Group's four business units are:

RUA Medical :	End-to-end contract developer and manufacturer of medical devices and implantable fabric specialist.
RUA Biomaterials :	Licensor of Elast-EonTM polymers to the medical device industry.
RUA Vascular:	Development of large bore polymer sealed grafts and soft tissue patches.
RUA Structural Heart :	Development of tri leaflet polymeric heart valves.

 

END

 

 

MSCUPUWWMUPUGAG