Flying Brands plans to sell three businesses.
M2 EQUITYBITES-March 30, 2012-Flying Brands plans to sell three businesses(C)2012 M2 COMMUNICATIONS http://www.m2.com
Home shopping company Flying Brands Limited (LSE:FBDU) said today that it is planning to sell its Garden Bird Supplies, Garden Centre Online and Listen2 businesses, as well as certain intellectual property of Garden Centre Online.
Subject to shareholder approval, Flying Brands will dispose of the Garden Bird Supplies, Garden Centre Online and Listen2 businesses to The Garden and Home Trading Company Limited, a subsidiary of MBL Group plc (LSE:MUBL), for GBP0.72m in cash. In a separate transaction, also subject to shareholder approval, the company will sell certain intellectual property of Garden Centre Online to Williams Commerce Limited for a cash consideration of GBP0.08m.
With these disposals Flying Brands will exit from the wild bird food industry previously served by Garden Bird Supplies, will remove the online outlet Garden Centre Online from the garden division's web-based retail operations and will exit from the entertainment retail market previously served by Listen2.
In 2010 Garden Bird Supplies, Garden Centre Online and Listen2 generated combined revenue of approximately GBP6m and an operating profit of GBP0.6m, while in the half year ending 1 July 2011 they recorded combined revenue of approximately GBP3.1m and a small operating loss.
After these transactions and the sale of the Gifts Division, announced on 21 February 2012, the remaining businesses and associated assets of Flying Brands will comprise the Gardening Direct business, the Retreat Farm growing and live dispatch businesses and the Retreat Farm freehold property.
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|Publication:||M2 EquityBites (EQB)|
|Date:||Mar 30, 2012|
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