News blog

Shellproof

  • BY: Andrew Hore |
  • POSTED: 03/09/2013 |

Shellproof is acquiring the Kent-based Gusborne estate wine business for £7m. 

The Shellproof share price jumped 13p to 44.5p, which values the company at £3.56m. Net cash was £3.13m at the end of March 2013. Shellproof is paying £4.2m in cash - adjusted for spending since the end of March 2013.  The rest of the purchase price is in shares and a vendor bond with a subscription price of £1.75m and a redeemable value of £2.34m. Between the end of the second year and the end of the third year the bond can be converted at 66p a share.

The acquisition includes a freehold property that will be used as the winery and will incease the size of the vineyards to 205 acres. Shellproof already owns vineyards in Sussex and now it will be able to sell its wine under the Gusborne brand. A new winery and visitor centre will be built in Kent - it will cost £3.4m.

Shellproof, which will raise £2.85m via a placing at 54p a share, is changing its name to Gusborne. The cash will finance the planting of 100 acres of vineyard over the next two years.

Former consultant orthopaedic surgeon Andrew Weeber established the Gusborne estate in 2003. The first vintage wine - from 2006 - was sold in 2010.

Lord Ashcroft will continue to be majority shareholder with 64.4% of the company. New chairman Andrew Weeber will own 12.8%. Chief executive Ben Walgate, vineyard manager Jon Pollard and winemaker Charles Holland will be incentivised with options over 10% of the enlarged share capital of the renamed Gusborne.

Download the latest AIM Journal from http://www.hubinvest.com/AIMPDFAugust2013_47.pdf

© 2024 Aim Micro. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Browse by issue
All issues
Popular tags
All tags

betbrokers, financial, gold, health, leisure, media, mobile, resources, services, technology

AIM Micro feeds

Keep up to date with articles published at AIMMicro.com. Subscribe to AIM Micro RSS Feeds