Last checked at 2 Oct 2008 07:00
For release: 07.00, 2 October 2008
NWF Group plc
Disposal of Garden Centre Division
NWF Group plc ("NWF" or the Group"), the specialist distribution business, is pleased to announce that it has completed the disposal of its Garden Centre division to Notcutts Limited for a total consideration of £14.5 million.
As announced in the Group's preliminary results on 13 August 2008, the Board made the decision during the year to focus the Group as a specialist distributor and sell its Garden Centre division.
The Garden Centre division operated six destination garden centres: Rivendell and Woodford Park in Cheshire, Wheatcroft and Dukeries in Nottinghamshire, Victoria in Yorkshire and Aston Park in Lancashire. In the year ended 31 May 2008 the Garden Centre division reported revenue of £21.8 million and a loss after taxation of £0.3 million. At 31 May 2008 the garden centre division had net assets held for sale of £15.3 million.
The disposal proceeds of £14.5 million are payable in cash and the proceeds of this sale will be utilised to reduce debt and strengthen the Group's balance sheet.
Richard Whiting, Chief Executive, commented:
"The disposal of the garden centres provides the opportunity to rationalise and focus NWF on its three specialist and profitable distribution divisions and exit the retail market. It also enables the Group to reduce debt and strengthen the balance sheet to support the future development of the Group."
For more information please contact:
NWF Group Plc 01829 260260
Richard Whiting / Paul Grundy
Charles Stanley Securities 020 7149 6000
Mark Taylor / Ben Johnston
Tavistock Communications 020 7920 3150
John West / Clemmie Carr