Conygar sells Anglesey site to Stena Line subsidiary

(Sharecast News) - The Conygar Investment Company said on Monday that it has agreed the unconditional sale of its 203-acre brownfield site at Rhosgoch in Anglesey to Rhosgoch Property, a wholly owned subsidiary of Stena Line UK, for £18.5m in cash. Completion was expected within 10 working days.

The AIM-traded company said the transaction would generate net proceeds of £18.3m, which would be used to fully repay a £5.6m loan from ASK Partners secured against its 36-acre Island Quarter site in Nottingham.

It said the remaining funds would support ongoing operations and working capital, primarily focused on The Island Quarter development.

The sale would result in a profit of £15.8m, based on the March valuation of £2.5m.

Conygar said the Rhosgoch asset did not contribute a profit or loss in the company's most recent financial year.

"We are delighted to have completed the sale of this asset to Stena and to continue our strong working relationship with them," said property director Freddie Jones.

At 1427 GMT, shares in the Conygar Investment Company were up 21.49% at 30.98p.

Reporting by Josh White for Sharecast.com.