AutoLogic Holdings plc (“AutoLogic” or the “Company”)
28 December 2006
Sale of Walon Iberia site at Meco, Madrid
The Board of AutoLogic announces that its Spanish subsidiary, Walon Iberia S.L., has today entered into an agreement to sell its site located at Meco, Madrid for a maximum consideration of €13.0 million (£8.7 million). A non-refundable payment of €5.85 million (£3.9 million) has been received on signature of the agreement with the balance of €7.15 million (£4.8 million) being payable on completion, which is anticipated to take place on 19th January 2007.
At completion, the estimated net proceeds of sale, after tax and expenses, are expected to be approximately €9.5 million (£6.4 million).
Walon Iberia S.L. will be entitled to remain on the Meco site until mid 2007 in order to enable it to relocate its core operations to new premises.
The Company will apply the net proceeds of sale towards further repayment and cancellation of the Company’s mezzanine facility.
It remains the Board’s major short term objective to repay and cancel the whole of the remaining outstanding mezzanine facility as soon as practicable.
John Merry, Chief Executive of AutoLogic, commented:
“I am pleased that we have succeeded in realising value from the Meco site in order to further reduce our mezzanine debt. Following completion of the Meco sale we expect to have reduced our mezzanine facility from its original level of £27.5 million to £8.3 million in under 9 months, which will be a significant step towards our goal of repaying the mezzanine facility in full as soon as practicable.”
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An exchange rate of £1:€1.49 has been used in this Announcement.
Enquiries:
Autologic: |
01934 523 299 |
Investors: Neville Harris IR Focus |
020 7593 4000 |
Media: Nicholas Potter College Hill |
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