Feast buys three subsidiaries from Montpellier

Montpellier Group PLC has confirmed the sale of three of its loss-making subsidiaries - Cornhill Interiors Limited, Lodge & Sons (Builders) Ltd and YJL Facilities Ltd - as well as its 30% interest in McLaren Construction Ltd.

The buyer is Roger Feast, former chief executive of Montpellier's construction division, who left the company to actively pursue the acquisitions.

Cornhill Interiors specialises in building fit-outs and refurbishment for the commercial and residential sectors, Lodge & Sons (Builders) is expert in the restoration of churches and listed buildings, while YJL Facilities is a provider of facility services and management.

For the year ended 30 September 2002, the audited aggregate contribution from the subsidiaries was a loss of £1.125m.

Under the terms of the disposal agreement, each of the subsidiaries is being sold for £1, but Montpellier is required to inject sufficient cash to ensure that their overall net asset value equates to £495,000.