Ultra Electronics Holdings PLC Disposal (1158G)
November 02 2018 - 2:00AM
UK Regulatory
TIDMULE
RNS Number : 1158G
Ultra Electronics Holdings PLC
02 November 2018
Embargoed until 0700 02 November 2018
Ultra Electronics Holdings plc
("Ultra" or "the Group")
Ultra divests its Airport Systems business to ADB SAFEGATE for
GBP22 million
Ultra announces that it has agreed to sell its Airport Systems
business to ADB SAFEGATE for a total consideration of GBP22m, of
which GBP2m is deferred. The deferred payment will be made
following the transfer of certain commercial contracts. The
transaction proceeds will be retained and used for general
corporate purposes.
Assuming satisfaction of all closing conditions, the transaction
is expected to complete by 31 January 2019.
Airport Systems provides specialised IT software solutions to
improve the operational performance of airports and airlines. These
solutions are installed in approximately 150 airports and are
in-service with 100 airlines internationally.
For the year ended 31 December 2017, the Airport Systems
business recorded revenues of GBP18.9m and operating profit of
GBP3.2m after allocation of central overheads. The disposal will be
marginally dilutive to the Group's earnings for the year ending 31
December 2019. The gross assets of the Airport Systems business
were GBP7.2m as at 31 December 2017. Depending on when the
transaction completes, it will result in either a goodwill write
down or accounting loss on disposal of approximately GBP8m. Further
details will be provided in the Group's 2018 Annual Report &
Accounts.
Simon Pryce, Chief Executive Officer of Ultra, commented:
"Although Airport Systems has been a part of Ultra for some
time, it has little customer, process or technology commonality
with the rest of the Group. As part of our focus on long term
sustainable value creation and after conducting an appropriate
process, we have therefore concluded that a sale of Airport Systems
to ADB SAFEGATE is the best long term solution for Airport Systems
customers, employees and other stakeholders and represents good
value for Ultra."
- End -
Enquiries:
Ultra Electronics Holdings plc 020 8813 4307
www.ultra-electronics.com
Simon Pryce, Chief Executive Officer
Amitabh Sharma, Group Finance Director
Susan McErlain, Corporate Affairs
Director 07836 522722
James White, MHP Communications 020 3128 8756
Further information about Ultra:
Ultra Electronics is a group of businesses which manage a
portfolio of specialist capabilities, generating highly
differentiated solutions and products in the defence &
aerospace, security & cyber, transport and energy markets by
applying electronic and software technologies in demanding and
critical environments to meet customer needs.
Ultra has world-leading positions in many of its specialist
capabilities and, as an independent, non-threatening partner, is
able to support multiple prime contractors in each of its sectors.
Ultra's systems, equipment or services are often mission or
safety-critical to the successful operation of the platform to
which they contribute. In turn, this mission-criticality secures
Ultra's positions for the long term which underpins the financial
performance of the Group.
Ultra offers support to its customers through the design,
delivery and support phases of a programme. Ultra businesses have a
high degree of operational autonomy where the local management
teams are empowered to devise and implement competitive strategies
that reflect their expertise in their specific niches. The Group
has a flat structure and small head office and executive team that
provide to the individual businesses the same agile, responsive
support that the businesses provide to their customers. In addition
this team formulates Ultra's overarching, corporate strategy.
Further information about ADB SAFEGATE:
ADB SAFEGATE offers a complete range of solutions for increased
safety, efficiency and sustainability to airports, airlines and
ANSPs worldwide. Its portfolio tackles every aspect of airport
traffic handling, airfield lighting, tower-based traffic control
systems, gate and docking automation, services and advanced
analytics for improved airport performance. ADB SAFEGATE supports
more than 2,500 airports, from the busiest to the fastest growing
airports, in 175 countries. With over 1,100 employees across 25
countries, ADB SAFEGATE is a one-stop provider of complete
solutions for airport performance, from approach to departure.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
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