MSQ Media Square

TIDMMSQ

RNS Number : 6090B

Media Square PLC

22 February 2011

Media Square plc ("Media Square" or the "Company")

Asset Disposal

Media Square announces that it has exchanged contracts to sell the trade and assets of its subsidiary arken limited ("arken") to Writtle Holdings Limited ("Writtle Holdings"). arken designs and manufactures point of purchase display materials and graphic display units from its base in Newmarket.

The sale price is GBP750,000, to be paid in cash on or before 28 February 2011. Net proceeds from the sale will be applied to reduce the Company's debt position.

In the financial year to 28 February 2010, arken recorded audited revenues of GBP3.6m and an operating profit of GBP265,000. It had net tangible assets of GBP881,000 and goodwill of GBP500,000. In the six month unaudited period to August 2010 the company generated revenues of GBP1.4m and an operating loss of GBP155,000.

In addition, as part of the transaction, Writtle Holdings has been granted the option to acquire the freehold premises occupied by arken and owned by Media Square for the sum of GBP3.25 million in cash. This option expires on 31(st) December 2011 and is exercisable at the sole discretion of Writtle Holdings Limited.

Roger Parry, Chairman of Media Square, commented: "arken has a long track record as a leader in the point of purchase industry, but it is a very different business from the rest of the Media Square agency portfolio. Writtle should be an excellent home for arken, as they already have several businesses in the same industry sector and have a long track record of success with this type of business."

For further information please contact:

 
 Media Square plc                  www.mediasquare.co.uk 
 Roger Parry                       020 3026 6601 
 Peter Reid                        020 3026 6607 
 
 Collins Stewart Europe Limited 
 Adrian Hadden/Stewart Wallace     020 7523 8350 
 

This information is provided by RNS

The company news service from the London Stock Exchange

END

DISTBMTTMBBTTBB

Media Square (LSE:MSQ)
Historical Stock Chart
From Feb 2025 to Mar 2025

Media Square (LSE:MSQ)
Historical Stock Chart
From Mar 2024 to Mar 2025