Asset Disposal (9063N)

TIDMEVN

RNS Number : 9063N

Environ Group (Investments) PLC

08 September 2011

8 September 2011

Environ Group (Investments) plc

("Environ Group" or the "Company")

Asset Disposal

Environ Group announces that is has today entered into an agreement with Mr Steven Hancock, a former director of Environ Group for the disposal of certain assets, including a Training Centre (principally comprising of a lease and office equipment), from Environ Group's subsidiary company BGC Ltd, for the sum of GBP150,000, payable in cash. Mr Hancock shall also provide BGC Ltd with a loan facility of GBP100,000 at an interest rate of 5%, repayable on 9(th) September 2012. Mr Nigel Wray, a director of Environ Group, is providing finance to Mr Hancock.

Mark Sims, the Chief Executive Officer of Environ Group, said "This transaction is part of our drive to further reduce overheads within the business and invest more in our core activities. It has been clear for some time that our Etruria based operation could be run from within the Company head office facilities. We believe that there will be a direct reduction in company overheads of GBP200,000 annually as a result of this transaction of which I expect half to be reflected in this year's trading figures. The loan facility will allow us to carry out the move without any impact on trading, by providing us with working capital to ensure a smooth transition from one location to another."

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For further information, please contact:

Environ Group (Investments) plc

Mark Sims - Chief Executive Officer

Tel: [phone]

Nominated Adviser:

Grant Thornton Corporate Finance

Gerry Beaney/Daniela Amihood

Tel: [phone]

Broker:

Seymour Pierce Limited

Jacqui Briscoe

Tel: [phone]

This information is provided by RNS

The company news service from the London Stock Exchange

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