Fisher&Paykel Appliances Ltd says it has sold most of its former manufacturing site at Cleveland in Queensland for $A21.5 million ($NZ28 million).The company moved a refrigerator factory from Cleveland to Thailand as part of its global manufacturing s
Fisher&Paykel Appliances Ltd says it has sold most of its former manufacturing site at Cleveland in Queensland for $A21.5 million ($NZ28 million).
The company moved a refrigerator factory from Cleveland to Thailand as part of its global manufacturing strategy, which also saw manufacturing facilities closed in Otago. The 16.45ha Mosgiel site, near Dunedin, has become a warehouse and logistics hub for Fonterra.
F&P Appliances told shareholders at the annual meeting last week that the Cleveland property in Brisbane was under offer and the process of subdividing East Tamaki Lot two land in Auckland into four separate titles was nearly complete.
Total net proceeds from both property sales was expected to be around $NZ40m. The money raised is being used to repay debt.
The company said today that except for a small parcel of land, the Cleveland site had been sold unconditionally for $A21.5m and settlement will be on November 1. Under the arrangement, F&P Appliances will lease back a portion of the warehouse and office facilities. The company has relocated its Queensland State sales team and warehouse from Murarrie, Brisbane to the Cleveland site.
Sale proceeds, net of Australian capital gains tax and costs, are expected to be approximately $A19.5m.
The parties are still in discussion about the remaining parcel of land at Cleveland, being Lot 11.
The 10-year-old Cleveland factory produced 130,000 refrigerators a year and shut its doors on March 31, 2009.
