Bricks manufacturer Michelmersh Brick has been granted planning permission for its site at Hadley, Telford.
Telford & Wrekin Council has given permission for the construction of 170 houses on 16 acres of development land at the site. Development can start immediately. The benefits should show through in 2010. The whole site covers 90 acres and is being developed in partnership with Persimmon Homes.
At 41p a share, up 1.5p on the day, Michelmersh is valued at £16.6m.
Michelmersh plans to raise £5m from a share issue so that it can develop its property and landfill assets. Net debt was £18.4m at the end of June 2009.
Michelmersh expects 2009 figures to be in line with expectations, which means a loss of around £1m.
Restructuring the Blockleys business will reduce costs and release more development land.
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