Likely Recognition of Impairment Charge

 

TIDMPLNT 
 
RNS Number : 8257R 
Plantic Technologies Limited 
31 August 2010 
 

31 August 2010 
 
                          PLANTIC TECHNOLOGIES LIMITED 
                          ("Plantic" or "the Company") 
 
                    LIKELY RECOGNITION OF IMPAIRMENT CHARGE 
 
Plantic (AIM:PLNT), the technology company engaged in the development and 
commercialisation of a range of environmentally friendly plastics from renewable 
resources. 
 
 
As previously announced, Plantic Technologies Limited ("Plantic") has entered 
into a Merger Implementation Agreement ("MIA") with Gordon Merchant No. 2 Pty 
Ltd ("GM") under which it is proposed that GM will acquire all of the ordinary 
shares in Plantic valuing the entire issued share capital of Plantic at 
GBP6.38m. If a superior bid is not received, the recoverable amount of Plantic's 
plant and equipment will be determined having regard to the value of the company 
implied by the offer by GM.  Plantic is likely, if a superior bid is not 
received, to recognise an impairment charge of $AUD9.8m in the accounts for the 
six month period ended 30 June 2010.  The impairment charge will be taken 
through the Income Statement and will have no effect on Plantic's cash 
resources. 
 
 
 
FURTHER INFORMATION: 
 
+--------------------------------------+------------------+ 
| Plantic Technologies Limited         |                  | 
+--------------------------------------+------------------+ 
| Brendan Morris                       | [phone]   | 
|                                      | 7983             | 
+--------------------------------------+------------------+ 
|                                      |                  | 
+--------------------------------------+------------------+ 
| Matrix Corporate Capital LLP         |                  | 
+--------------------------------------+------------------+ 
| Stephen Mischler                     | [phone]  | 
|                                      | 7203             | 
+--------------------------------------+------------------+ 
| Tim Graham                           | [phone]  | 
|                                      | 7206             | 
+--------------------------------------+------------------+ 
|                                      |                  | 
+--------------------------------------+------------------+ 
| Pelham Bell Pottinger                |                  | 
+--------------------------------------+------------------+ 
| Archie Berens                        | [phone]  | 
|                                      | 3112             | 
+--------------------------------------+------------------+ 
 
 
NOTES FOR EDITORS 
 
Plantic Technologies is based in Australia, where its head office, principal 
manufacturing and research and development facilities are located. In addition 
the company has a rigid packaging manufacturing plant in Jena, Germany together 
with sales offices in Germany, the United Kingdom and the USA. Plantic employs 
approximately 65 people internationally. 
 
Plantic's novel polymer technology is based on the use of high-amylose corn 
starch, a material derived from annual harvesting of specialized non-GM (hybrid) 
corn and supplied by National Starch.  The unique chemical and film-forming 
properties of this type of starch allow for development of a range of 
applications across conventional plastics markets.  Plantic materials have a 
renewable bio-content of approximately 85%.  In addition to being 
renewably-sourced, Plantic materials are biodegradable, home compostable, water 
dispersible and compostable to American (ASTM 6400) and European (EN 13432) 
standards. 
 
Plantic Technologies has won numerous international awards for their innovation 
in biodegradable plastics. Plantic is listed on the London Stock Exchange (AIM) 
under the symbol 'PLNT'. 
 
For more information visit the company's website www.plantic.com.au. 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
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