Leeds Group in council battle over land

LEEDS Group might be focused on operations elsewhere, but it is set for a battle with the council in the city where it takes its name from.

The company' which was once involved in the Yorkshire textile industry then went into funding equipment leasing and now focuses on German fabrics, is taking Leeds City Council to court over a five-acre plot of land it owns in Yeadon.

The land is next to the former Scott & Rhodes factory and Leeds Group had plans to sell it for development. However the city council has moved to register the space as a village green.

The company is now seeking a judicial review of that decision.

Meanwhile announcing its annual results today, it confirmed it has totally withdrawn from the textile manufacturing business. It has a German-based fabrics company called Hemmers-Itex which it is keen to develop and it is also looking for new investment opportunities.

The company made pre-tax profits of £760,000 in the year to September 30 compared to £743,000 last year.

Hemmers-Itex sales were 7.4% higher at £17,523,000 with pre-tax profit at £662,000.

Net asset value per share increased by 10% to 34.4p while earnings per share from continuing operations were 1.5p.

The company won't be paying a dividend while the board “continues search for suitable investment opportunities”.

Chairman Ewen Wigley said: “The board continues to look for other acquisitions or investments that will strengthen the group and benefit shareholders. In the meantime, Hemmers-Itex continues to perform in line with the expectations of both its management and the board.”