REG - Nexus Infrastructure - Sale & Leaseback of Head Office building

Nexus InfrastructureAnnouncement

04/04/2022 07:00

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RNS Number : 0489H  Nexus Infrastructure PLC  04 April 2022

Nexus Infrastructure PLC

4 April 2022

Nexus Infrastructure plc

("Nexus" or the "Company" or the "Group")

 

Sale & Leaseback of Head Office building

 

 

Nexus Infrastructure plc (AIM:NEXS), a leader in enabling the energy
transition by delivering sustainable infrastructure, announces the successful
completion of a sale and leaseback transaction of Nexus Park, the Group head
office building.

 

Nexus Park was completed in 2021 and has been successfully occupied by all
subsidiaries of the Group during the summer of 2021. The Group has completed
the sale and leaseback transaction of the freehold of Nexus Park with Dorsel
U.K. 4 Limited.

 

The disposal included the 4.7 acre site and the three story, 35,000 sq ft head
office building that all constitutes Nexus Park. The assets are being sold at
net book value, and so a breakeven result is being recorded, prior to disposal
costs of £150k.  The proceeds of £13.5m will be used to clear existing bank
debt totalling £10.8m, with the balancing £2.7m enhancing our cash
reserves.

 

The Group has simultaneously entered into a 20 year lease for Nexus Park,
which will create an IFRS 16 Right of Use asset of £11.3m and an associated
Lease Liability of £11.4m.

 

Commenting on the transaction, Mike Morris, Chief Executive Officer, said:

 

"I am pleased to have successfully completed this transaction. The proceeds
clear the bank loans associated with the development of the property and
crystalise our investment in the land. Our balance sheet is strong and now
free of borrowings, which will support our future growth."

 

 

 

Enquiries:

 Nexus Infrastructure plc                                                                                                                                           Tel: 01376 559550

 Michael Morris, Chief Executive Officer

 Alan Martin, Chief Financial Officer

 Numis Securities Limited                                                                                                                                           Tel: 0207 260 1200

 (Nominated Adviser & Broker)

 Oliver Hardy (Nomad)

 Heraclis Economides

 Ben Stoop

 Financial Public Relations                                                                                                                                         Tel: 0203 757 4992

 Camarco

 Ginny Pulbrook

 Rosie Driscoll

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR. The person responsible for making this announcement is the Company
Secretary.

 

About Nexus

Nexus is enabling the energy transition by delivering sustainable
infrastructure. The Group's capabilities are:

Multi-Utilities   - TriConnex, our multi-utilities business, designs,
installs and connects energy, water, fibre networks and electric vehicle
charging infrastructure on new residential developments. The business offers
end‑to‑end solutions with the goal of being recognised as the UK's leading
independent provider of utility connections to new developments.

Energy Transition   - eSmart Networks, the energy transition specialists,
provides public electric vehicle charging, industrial electrification and
renewable energy connections. The business was created to respond to the UK's
need for charging infrastructure as the transition to electric vehicles
gathers pace and has since broadened its services to provide grid connection
solutions and renewable energy infrastructure.

Civil Engineering   - Tamdown, our civil engineering business, provides a
range of civil engineering and infrastructure services to the UK housebuilding
and commercial sectors. Services include earthworks, highways, substructures
and basements, installing sustainable drainage systems, as well as high-rise
construction. It has an established market-leading position having been in
operation for over 40 years.

 

 

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