Biome Technologies Announces Proposed Sale of its 50% stake in Biotec Thursday, 6th September 2012
Biome Technologies plc announces the proposed disposal to Sphere S.A. (“SPH”) of the Company’s 50 per cent. holding in Biotec Holding GmbH (“Biotec”) (together with the outstanding shareholder loan of EUR 6,227,092.02 made by the Company to Biotec and its subsidiaries (the “Shareholder Loan”) for £5.2m in cash (the “Sale”).
- Sale of 50% stake in Biotec, the Group’s manufacturing joint venture with Sphere
- Biome will receive a cash consideration of £5.2m
- The sale will allow the Group to focus on its strategy to develop high margin, application led products.
John Standen, Chairman said:
“This disposal is an important step for the Company and it will allow our Bioplastics Division to work exclusively on developing and commercialising wholly owned intellectual property. The Board believes it is an appropriate time to divest its stake given the weak and uncertain market segments serviced by Biotec. In addition, we believe Biotec’s dedicated operations will become increasingly less relevant to Biome’s operations in the coming years as we focus on delivering our strategy to develop products with higher levels of functionality which are likely to require different production technologies.”
The Circular detailing this matter can be found here