Vulcan Industries Plc Disposal of Time Rainham Limited
November 15 2022 - 4:42AM
UK Regulatory
TIDMVULC
15 November 2022
Vulcan Industries plc
("Vulcan" or the "Company")
Disposal of Time Rainham Limited
Vulcan Industries plc (AQSE: VULC) is pleased to announce that it has disposed
of the entire share capital of Time Rainham Limited ("Time Rainham").
Disposal rationale
Time Rainham has been manufacturing components for First Tier commercial OEM's
for over 70 years. It manufactures a vast range of components including
selector forks, levers, valve housings, manifolds and blocks as well as complex
gearbox transmission cases. Following a review of the future production
schedules and the working capital requirements of Time Rainham, the board have
concluded that additional investment to increase capacity is required to enable
the business to return to profitability. The demand outlook remains uncertain,
with the risk that the additional volumes required to justify the investment
might not materialise for some time. Accordingly, the board have decided to
dispose of the business to avoid continued cash outflows.
In the interim accounts to 30 September 2022 Time Rainham had net liabilities
of £1,039,000. Consideration from the disposal is £1 and its disposal will
improve the Group balance sheet of Vulcan Industries plc.
Ian Tordoff, Executive Chairman, "Together with many smaller suppliers to OEMs,
Time Rainham has struggled to rebalance and build its order book in response to
pressures from OEMs to source product overseas. Whilst we have reviewed a
series of options to support its endeavors, the additional capital and working
capital investment required to reach profitability cannot justified given the
continued uncertainty in the market."
For further information, visit: https://vulcanplc.com
The directors of Vulcan accept responsibility for this announcement.
Contacts
Vulcan Industries plc Via Vox Markets
Ian Tordoff, Chairman
First Sentinel Corporate Finance Ltd (AQSE +44 7876 888 011
Corporate Adviser)
Brian Stockbridge
Jenny Liu
Vox Markets (Media and Investor Relations) vulcan@voxmarkets.co.uk
Kat Perez +44 7881 622 830
Paul Cornelius + 44 7866 384 707
About Vulcan
Vulcan seeks to acquire profitable engineering, manufacturing, and industrial
businesses to enhance value unlocking growth which is not being achieved as a
standalone private company. For more information visit https://
www.voxmarkets.co.uk/listings/PLU/VULC
Forward Looking Statements
This news release may contain "forward-looking" statements and information
relating to the Company. These statements are based on the beliefs of Company
management, as well as assumptions made by and information currently available
to Company management. The Company does not undertake to update forward-looking
statements or forward-looking information, except as required by law.
The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014. Upon the publication of this announcement via a Regulatory
Information Service, this inside information is now considered to be in the
public domain.
END
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