Completion of sale of North American business

RNS Number : 3587K

Taylor Wimpey PLC

13 July 2011

 



13 July 2011

Taylor Wimpey plc

Completion of sale of North American business

Following the announcement of the conditional sale of our North American business on 31 March 2011 and the receipt of all required regulatory and governmental approvals, we are pleased to confirm that the transaction has been completed today.

The total proceeds were US$1.2 billion, including cash balances and additional funds invested into the business.  Full details of the accounting treatment for the transaction will be included in our half year results announced on 3 August 2011.

Pete Redfern, Group Chief Executive, commented:

"The sale of our North American business represents a very significant step towards our goal of becoming a UK focused homebuilder.  We now have a strengthened balance sheet and increased financial capacity to invest in the UK and we are well positioned to deliver further margin improvement.  I would like to reiterate the Board's thanks to our employees in North America for their hard work, loyalty and commitment over many years and in relation to this transaction and wish them every success in the future."

Group financial position

Proforma net debt as at 3 July 2011, adjusted for the receipt of the net proceeds of the sale and the previously announced payment of £32.5 million to the Group's UK pension funds, is below £170 million.

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For further information please contact:

Taylor Wimpey plc                                                                  Tel: [phone]

Pete Redfern, Group Chief Executive

Ryan Mangold, Group Finance Director

Jonathan Drake, Investor Relations

Finsbury                                                                                  Tel: [phone]

Andrew Dowler

Notes to editors:

Taylor Wimpey plc is a focused community developer with operations in the UK and Spain. We aim to be the developer of choice for customers, employees, shareholders and communities.

For further information, please visit the Group's website:

www.taylorwimpeyplc.com

 

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