- Victoria
- 07 April 2026 16:00:54
Source: Sharecast
The AIM-traded company said it had entered into a binding agreement to sell the site to Avantage Property Holding, a fund managed by Alirec, with completion expected within 90 days subject to customary conditions.
It said the gross cash consideration of €34.4m compared with a net book value of €5.6m as at 31 January, with existing tax losses expected to mitigate any capital gains tax liability.
Victoria said the facility would remain its primary European distribution hub for Balta Rugs, following the relocation of the majority of manufacturing to Turkey, ensuring continuity of operations despite the change in production footprint.
Net proceeds would initially be retained on the balance sheet and, together with disposals of two additional surplus properties, were expected to fully fund the exceptional costs and capital expenditure associated with the transfer of manufacturing to Turkey.
“This agreement secures continued use of an important site while unlocking capital to mitigate the costs associated with expanding production capacity at Balta's Turkish plant and relocating the majority of its rug manufacturing to that site,” said executive chairman Geoff Wilding.
“This major project is expected to be completed and begin providing benefits during the current financial year.”
At 1535 BST, shares in Victoria were down 3.05% at 39.75p.
Reporting by Josh White for Sharecast.com.
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