Trading Update & Disposal

RNS Number : 1949K

TT electronics PLC

12 July 2011

 



TTG

TT electronics plc

 Trading Update and Disposal

TT electronics plc (the "Group"), a leader in sensor and electronic component technology, supplying manufacturers in the defence, aerospace, medical, transportation and industrial electronics markets, is pleased to provide the following trading update.

The improved trading conditions reported in our interim management statement of 11 May 2011 have continued through to the end of the first half.  Our strategic focus on selected growth markets has delivered strong trading with higher volumes and margins from all our electronics businesses.   Results for the first six months of the year will be announced on 24 August 2011 and, following the upgrade in May, the Board anticipates trading for the full year to be in line with its expectations.

The Group also announces the sale of its subsidiary, AEI Compounds Limited ("AEI Compounds"), to Saco Polymers Inc ("Saco").  AEI Compounds, based in Sandwich, Kent, develops and manufactures specialised polymer compounds for the wire & cable and pipe industries.

The consideration for the sale is £8.6m in cash and is subject to an adjustment to the extent that the value of the total net assets delivered is greater or less than £7.2m.  The proceeds of the disposal will be used to reduce Group borrowings.

Saco is a private company whose business is the supply of specialised plastics compounds used in the manufacture of wire & cable and pipe for the construction industry in North America.

Commenting on the disposal, Group Chief Executive, Geraint Anderson said:

"The sale of AEI Compounds brings to a successful conclusion the disposal of the businesses which previously comprised the Group's General Industrial division.  The disposals, identified in our strategic review in 2009 and comprising nine businesses, have generated more than £30m of net proceeds, considerably ahead of the Board's initial expectations."

Enquiries:

TT electronics plc Geraint Anderson, Group Chief Executive Shatish Dasani, Group Finance Director	Tel:  [phone]
Biddicks Zoë Biddick/Sophie Lane	Tel:  [phone]

For more information on TT electronics plc visit www.ttelectronics.com

 

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