Plant Health Care to divest Netherlands subsidiary

Plant Health Care (PHC.L) Monday said it will divest its European distribution businesses, in order to focus on improving its Harpin technology platform and maximizing sales of Harpin and Myconate products.

The divestment primarily involve sale of the company's wholly-owned Netherlands subsidiary, Plant Health Care BV, to the management of the Subsidiary under the leadership of Pius Floris.

The subsidiary is expected to change its name in the next 12 months. The consideration for the disposal is estimated to be around 1 euro and the repayment of an outstanding inter-company loan of approximately $536.23 million. This results in a write-off of approximately $281.47 to Plant Health Care.

Proceeds from the disposal will be retained for working capital purposes and for continued implementation of the company's strategy.