600 Group completes sale of South African operations

published 13 July 2012

600 Group, a diversified engineering firm, has sold the entire share capital of 600 South Africa after the conditional contract was approved.

The operations, which were sold due to difficulties that were being experienced in repatriating net operating income to the parent company, was sold to Eqstra Holding for a consideration of ZAR 24.3m (£1.86m), of which ZAR 1.8m (£0.14m) is deferred for up to six months and subject to certain further undertakings.

600 anticipates cash proceeds are around £1.54m. The most recent reported results of the group for the year ended March 31st 2011, included net profits after taxation in respect of 600SA of ZAR 6.5m (£0.50m), and the book value of the net assets of 600SA, were ZAR 34.7m (£2.66m).