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Pressure Technologies plc announced on 05 July 2022 the completion of a sale and leaseback of its Roota Engineering property in Rotherham with Victoria Court Mews Limited. The gross sale proceeds were £1.65 million in cash, and the company simultaneously entered into a 15-year lease for the property at an initial rent of £90k per annum. The property had a net book value of £750k as of 31 March 2022.
| Date | 5 Jul 2022 |
| Time | 07:00:05 |
| Category | Disposals |
| ID | 2811R |
Pressure Technologies plc
("Pressure Technologies", the "Company" or the "Group")
Sale and Leaseback of Roota Engineering Property
Pressure Technologies (AIM: PRES), the specialist engineering group, is pleased to announce that it has completed a sale and leaseback of its freehold property occupied by Roota Engineering in Rotherham with Victoria Court Mews Limited.
The gross sale proceeds are £1.65 million in cash and the Company has a 15 year lease for the Property at an initial rent of £90k per annum, subject to three-yearly rent reviews linked to RPI, with a tenant only break option at the end of years five and ten.
The Property had a net book value of £750k as at 31 March 2022. Under IFRS 16, a right of use asset of approximately £1.07 million and associated lease liabilities worth approximately £1.07 million will be reflected on the Group's balance sheet and approximately £800k of the book profit on the disposal will be deferred and recognised in the Group's income statement over the period of the lease.
The proceeds will be used to reduce the Company's banking facilities.
For further information, please contact:
|
Pressure Technologies plc Chris Walters, Chief Executive James Locking, Chief Financial Officer |
Tel: 0330 015 0710 |
|
Singer Capital Markets (Nomad and Broker) Mark Taylor / Asha Chotai |
Tel: 0207 496 3000 |
|
Houston (Financial PR and Investor Relations) Kay Larsen / Ben Robinson |
Tel: 0204 529 0549 |
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the UK version of the EU Market Abuse Regulation (2014/596) which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended and supplemented from time to time.
COMPANY DESCRIPTION
With its head office in Sheffield, the Pressure Technologies Group was founded on its leading market position as a designer and manufacturer of high-integrity, safety-critical components and systems serving global supply chains in oil and gas, defence, industrial and hydrogen energy markets.
The Group has two divisions, Chesterfield Special Cylinders and Precision Machined Components.
Chesterfield Special Cylinders (CSC) - www.chesterfieldcylinders.com
● Chesterfield Special Cylinders, Sheffield, includes CSC Deutschland GmbH.
Precision Machined Components (PMC) - www.pt-pmc.com
● Precision Machined Components includes the Al-Met, Roota Engineering and Martract sites.