Ross Group PLC
14 June 2004
www.ross-group.co.uk
Brunel Road
Totton
Southampton
SO40 3YS
Phone 02380 675500
Fax 02380 675555
14 June 2004
Ross Group plc Disposal of the Business of Tadmod Ltd
Ross Group plc today announces that it has reached agreement for the sale of its
battery charger and electrical adaptor business currently being traded by its
subsidiary Tadmod Ltd. This will allow the Group to concentrate on the
engineering activities operated by GEL Engineering Ltd.
An agreement was signed today for the sale of the business to Queenspark Ltd,
with a transfer date of 1 May 2004. The deal will include the sale of goodwill,
stock, debtors and trade creditors along with the rights to use the brand names
Maxamp, Selmar and Bradex.
The sale agreement calls for payment for the goodwill on the completion date and
payment for the net value of stock and debtors less trade creditors seven days
later. The net asset value of the transaction is approximately £185k. The sale
qualifies as a 'Transfer of a Going Concern' under the VAT rules. The proceeds
from the sale will be used to reduce the group's borrowing requirement.
Tadmod contributed just £6k of the Group's profits of £57k for the year ended 31
December 2003. Trading during 2004 has returned a small loss and therefore the
Directors consider the disposal will have no significant impact on the group's
results and will allow a re-focus of effort on more profitable activities. The
disposal of the business is classified as a Class 2 transaction under Chapter 10
of The Listing Rules.
The Board of Directors of Tadmod Ltd have approved a resolution to apply to
Companies House to re-name the company Sansui Electronics (UK) Ltd.
Registered in England No: 131902
Reg Off: 35 Paul Street, London EC2A 4UQ
This information is provided by RNS
The company news service from the London Stock Exchange
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