Coral Products sells former Merseyside headquarters for £3.5m
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Plastics manufacturer Coral Products has exchanged contracts for the sale of its former manufacturing site in Haydock, Merseyside.
Coral is selling the property at North Florida Road in St Helens to Glenbrook CP for approximately £3.5m – subject to the group replacing the roof of the property – and will use the proceeds to support future growth including acquisitions.
Coral will now spend around £650,000 replacing the roof prior to completion, which is expected to be by the end of Q3 2021.
The sale of the property follows the disposal of Coral Products (Mouldings) and Interpack to One51 ES Plastics (UK) in March.
The property was originally acquired by Coral in December 2012 for £1.75m and the current tenant is contracted to pay the £300,000 per annum in rent for use of the property.
The London Stock Exchange-listed firm’s HQ has since been switched to the Roundthorn Industrial Estate in Wythenshawe, Manchester.
Executive chairman Joe Grimmond said: “Following the repayment of the CBIL loan, the sale of the property and the return to normal business activity, the group has three profitable, cash generative businesses, a strong balance sheet and a much increased cash balance which will be further enhanced following completion of the sale of the property.
“This will support organic growth whilst allowing for us to seek acquisitions to augment our existing activities and reward shareholders for their long-term support.”