REG - Coral Products PLC - Acquisition of Manplas Holdings Limited

Coral ProductsAnnouncement

19/09/2022 07:00

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RNS Number : 8411Z  Coral Products PLC  19 September 2022

19(th) September 2022

Coral Products plc

(the "Company", the "Group" or "Coral")

Acquisition of Manplas Holdings Limited

 

Coral Products plc, a specialist in the design, manufacture and supply of
plastic products based in Wythenshawe, Manchester, is pleased to announce that
it has acquired the entire issued share capital of Manplas Holdings
Limited ("Manplas") for a consideration of £300,000 (the "Acquisition") to
be satisfied by the payment of £200,000 in cash and the issue of 625,000
ordinary shares in the Company at a price of 16p per ordinary share (for a
total value of £100,000), (the "Consideration Shares"), which are subject to
a twelve month lock in arrangement.

The cash consideration for the Acquisition is being satisfied from the Group's
existing resources and the Consideration Shares will be settled from the
ordinary shares held by the Company in treasury. A further announcement will
be made when that occurs.

Executive Chairman, Joe Grimmond, said: "These premises adjoin those of our
Tatra Rotalac subsidiary and will enable further development of the Tatra
Rotalac business by expanding manufacturing space available without the
substantial costs involved in increasing the required power supply.
Furthermore, the services provided by Manplas are complementary to those of
our Customised Packaging Ltd subsidiary also based nearby.

The combined acknowledged expertise of Customised Packaging Ltd and Manplas
forms what will be a leading provider of Customised Product protection
solutions solving logistic problems across multiple sectors. This is in line
with our objective of building a specialist group of businesses which are
product and design led."

About Manplas Holdings Limited

Manplas provides a custom manufacturing service for the production of
vacuum-formed components and sheet plastic parts.  Markets supplied include
on and off-road vehicles, retail display, leisure and packaging among others.
The vendors were Joseph Green, Robert Stokes and Ian Thomas. Manplas, which is
based in Manchester will continue to operate from its existing premises.

As per the unaudited financial statements for the year ended 30 June 2021,
Manplas's sales were £2.7 million, loss after tax was £29,000 and net asset
value was £0.3 million.  Pursuant to the terms of the share purchase
agreement, the Vendors have given warranties and indemnities in favour of the
Company.

For more information on Coral and Manplas, please visit the following
websites:

www.coralproducts.com (http://www.coralproducts.com/)

www.manplas.co.uk (http://www.manplas.co.uk)

 

ENQUIRIES:

Coral Products plc

Joe Grimmond, Executive Chairman
 
Tel: 07703 518148

 Nominated Adviser & Broker

 Cenkos LLP                      Tel: 020 7397 1966

 Stephen Keys

 Charlie Combe

 Capital Markets Consultants     Tel: 07515 587 184

 Richard Pearson

 

This announcement contains inside information for the purposes of Article 7 of
the UK version of Regulation (EU) No 596/2014 which is part of UK law by
virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon
the publication of this announcement via a Regulatory Information Service,
this inside information is now considered to be in the public domain.

 

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