Disposal

Greencore Group PLC 13 July 2001 GREENCORE GROUP PLC CONTACT: MR. B.J. POWER TELEPHONE 353 1 605 1029 FAX 353 1 605 1104 DISPOSAL OF HAZLEWOOD'S HORTICULTURE BUSINESS BY GREENCORE FOR Euro25M Greencore Group plc ('Greencore') announces that it has to-day sold the U.K. horticulture business, Van Heyningen Brothers Limited, and its Portuguese subsidiary, Hectare Agro Industria SA, (together 'VHB'), acquired as part of its acquisition of Hazlewood Foods ('Hazlewood') in January 2001, to Humber Growers Limited ('Humber'), a leading U.K. grower of fresh produce. VHB is a grower and trader of tomatoes, herbs and cress, operating from seven sites in the U.K. and one in Portugal. As part of the transaction, Greencore will retain ownership of the freehold interest in one of the sites, at Littlehampton, Sussex, which it will rent to Humber. Greencore considers this site to have development potential. The consideration receivable is as follows: * STG£13.092m (Euro21.6m) at completion, by means of cash payment and repayment of intercompany loans; and * STG£2.0m (Euro3.3m) by not later than 24th September 2002. The value of the net assets at disposal was STG£15.1m (Euro24.9m). VHB made profits before tax of STG£1.66m (Euro2.7m) on turnover of STG£71.3m (Euro 117.9m) in the year ended 31 December, 2000. The proceeds will be employed by Greencore to reduce the indebtedness it incurred to finance its acquisition of Hazlewood. Commenting on the disposal, Greencore Director, Patrick Kennedy, said 'When we acquired Hazlewood we said we would implement a disposal programme and this sale is part of that strategy. We will be making further disposals over the next year in furtherance of reshaping our Group'. B.J. POWER, DIRECTOR & SECRETARY, GREENCORE GROUP PLC, ST. STEPHEN'S GREEN HOUSE, EARLSFORT TERRACE, DUBLIN, 2. 13th July, 2001.
UK 100

Latest directors dealings