4imprint, the promotions company, is to sell its Brand Addition business to the private equity firm HIG Capital for £24m.
Brand Additions supplies promotional merchandise to medium and large businesses usually as part of an outsourcing arrangement.
For the six months ended July 2nd 2011, Brand Addition's unaudited revenue was £28.51m and unaudited operating profit was £2.04m.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Of the £24m total, £22.75m will be paid up front with a further £1.25m in a year's time.
4imprint says it will use £12m of the proceeds to reduce the risk of its defined benefit pension scheme, with the remainder to be spent for general corporate purposes.
The stock had gained 2.7% by 10.44. Over the last 12 months 4imprint shares are up 7.2%,
BS
-
Saba Capital and Boaz Weinstein respond to investment trustsAs investment trust managers and industry experts accuse Saba of self-motivated opportunism, the hedge fund responds to specific "misleading claims" and sets out its stall
-
How to find top-quality companies with growing dividendsIan Mortimer, portfolio manager of Guinness Global Equity Income Fund, shares where he would put his money for sustainable and growing dividends
