Bathroom products maker Qualceram Shires says contracts have been exchanged for the sale of its former production site in Hanley, Stoke-on-Trent, the closure of which was delayed until the end of December 2003.
The 14.5 acre site is to be acquired by The Woodford Group for the residential development of 230 new homes. The sale remains subject to planning permission and discussions regarding the development have already started with local authorities. The proceeds of the sale are expected to amount to £4m in cash. The Hanley site has a book value of £1.3m.
Qualceram says the closure of the site is expected to result in 'significant cost savings'. The net proceeds of the sale will be used to cut debt.
