Royal Ten Cate sells stake in Australian geotextiles firm.
Royal Ten Cate (TenCate) and Noel P Hunt International Ltd. have
reached an agreement regarding the acquisition of TenCate's 50%
interest in the Geofabrics Australasia Pty Ltd joint venture based in
Cheltenham, Australia. The takeover price of the shares amounts to AUD 40 million (approximately 23 million[euro]). The book profit on the sale
of the 50% interest amounts to approximately Ell million and will be
incorporated in the half-year figures of TenCate. TenCate acquired its
50% stake in 2005 through its takeover of the Austrian roll goods
supplier Polyfelt. Noel P Hunt International Limited was already a joint
shareholder in Geofabrics Australasia. Given the strong worldwide market
position and the integration of Polyfelt into the geosynthetics
activities of TenCate, the equity participation in Geofabrics
Australasia, without majority control, is not seen by TenCate as
strategic. According to TenCate, agreements have been reached with the
company concerning the continuation of commercial cooperation.