REG-Proventec PLC Sale of holding in Hardide
Released: 12/02/2007
RNS Number:0613R
Proventec PLC
12 February 2007
Press Release 12 February 2007
Proventec Plc
("Proventec" or "the Company")
Sale of remaining 21.5% holding in Hardide
Proventec Plc (AIM:PROV), a provider of specialist steam cleaning and coatings
technologies, today announces that through its subsidiary, Flintstone Management
Services Limited ("FMS"), the Company has raised £2.3 million (after expenses)
via the sale of FMS's remaining 21.5% stake in AIM-listed Hardide plc ("Hardide
").
The sale of 31,499,725 ordinary shares in Hardide via a Placing to Hardide's
current shareholders marks a full exit from Hardide by Proventec and is in line
the Company's stated strategy of exiting non-core investments. The exit
provides Proventec with a net profit of £0.7 million and the proceeds of the
Placing will be used to continue the development of Proventec's core businesses
in hygienic solutions and preventative coatings. Ellis & Company advised
Proventec and Hardide on the Placing.
David Chestnutt, Chief Executive of Proventec, said: "This full exit from
Hardide follows on from the reduction the Company announced back in May 2006
and, as stated then, it makes strategic sense for both parties. Through our
subsidiary, FMS, we have been long term original holders in Hardide and have
been financially supportive through Hardide's corporate development and we wish
them well in the future.
"Our policy of exiting non-core investments in recent months places the Company
in a strong position to facilitate the next stage of our own growth ambitions.
We are keen to expand our execution capabilities in marketing and sales in-house
as well as actively pursuing joint ventures and complementary acquisitions
particularly in Europe and North America."
Following this Placing of shares, David Chestnutt, the current non-executive
Chairman of Hardide, will relinquish his position from the Hardide Board, with
effect from 31 March 2007.
- Ends -
For further information, please contact:
Proventec Plc
David Chestnutt, Chief Executive Tel: + 44 (0) 151 706 0626
dchestnutt@proventecplc.com www.proventecplc.com
Dawnay, Day Corporate Finance Limited
David Rae, Corporate Finance Tel: + 44 (0) 20 7509 4570
david.rae@dawnayday.com www.dawnayday.com
Media enquiries:
Abchurch
Henry Harrison-Topham / Gareth Mead Tel: +44 (0) 20 7398 7700
gareth.mead@abchurch-group.com www.abchurch-group.com
Notes to editors:
Proventec plc manages a complementary portfolio of integrated businesses that
specialise in hygienic solutions and preventative coatings technologies.
Headquartered in Liverpool, the Company operates in global markets, pioneering
developments within the healthcare, food manufacturing, hospitality industries,
transportation, construction, and other sectors.
The Company's hygienic solutions division includes OspreyDeepClean, the world's
leading provider of chemical-free specialist dry saturated steam cleaning
technology, which has been successfully proven in trials with University College
London Hospitals to combat the spread of common bacteria and healthcare
associated infections such as MRSA and Clostridium difficile. The market for
hygienic solutions is currently dominated by conventional cleaning methods and
systems which are often labour intensive and require extensive use of water and
toxic chemicals. At the same time most of these cleaning methods only serve
general cleaning purposes but do not sufficiently address more elaborate
hygienic concerns, especially with regards to food safety and hospital acquired
infections.
Proventec, through its coatings division, is also a leading provider of non-
toxic, phosphorous based, coatings and chemicals for wood and wood based
products, wool, cotton and plastics. The division includes Magma, a developer
of flame and fire retardant products, which is the first company to obtain
European approval for the fire retardant treatment of plywood and has met the
highest standards of the EU classification system, EN13501-1.
Proventec has an active R&D programme for the development and improvement of its
technologies and applications, and co-operates with companies and technical
institutes across Italy, Germany, Holland and the UK. Supported by a changing
legal and political international environment, Proventec is answering an
increasing consumer demand for hygiene and safety, and is creating distinctive
and proprietary positions within these markets.
For further information please visit www.proventecplc.com
Hardide plc provides and applies tungsten carbide coatings to a wide range of
engineering components. The Company's patented technology is unique in that it
combines both abrasion and corrosion resistant properties in one coating. When
applied to components, the technology is proven to offer dramatic cost savings
through reduced downtime and extended component life. Customers include leading
companies operating in oil and gas exploration and production, valve and pumps
manufacturing and general engineering.
This information is provided by RNS
The company news service from the London Stock Exchange
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