PERTH: BauMart Holdings Limited has entered into a conditional agreement with Ventus Aqua Pty Ltd to sell its Lisec glass processing equipment currently leased to Sydney Sunny Glass Pty Ltd, a glass products supplier based in Smithfield, New South Wales.
Ventus Aqua proposes to undertake an initial public offering (IPO) of its shares and apply for admission to the official list of the National Stock Exchange of Australia (NSX). It is expected that Ventus Aqua will lodge a prospectus for the IPO with the Australian Securities and Investments Commission around mid to late June 2020.
BauMart Holdings will receive 11,666,667 shares in Ventus Aqua at a deemed issue price of $0.30 per share i.e. $3.5 million. The sale will result in an accounting profit of approximately $3.4 million to the Company.
BauMart’s Executive Director, Matthew Logan said “The sale of the glass processing equipment and the rights under the current equipment lease is an important step in BauMart’s strategy to divest non-core assets and focus on the pursuit of other opportunities in the supply and procurement sector. The sale is consistent with our strategic direction to focus on divisions with stronger margin products and services Ventus Aqua’s business objectives are focused on the glass processing and supply sector and will be better positioned to more efficiently manage the Assets within its structure.”