25/11/2008 - 09:50

Joyce Corp sells Qld property for $9m

25/11/2008 - 09:50

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Bedding franchiser Joyce Corporation has reached a deal to sell its Queensland property for $9 million, some $500,000 more than its valuation at the end of the 2008 financial year.

Joyce Corp sells Qld property for $9m

Bedding franchiser Joyce Corporation has reached a deal to sell its Queensland property for $9 million, some $500,000 more than its valuation at the end of the 2008 financial year.

The Osborne Park-based company said the agreement for the 3.4 hectare property near Brisbane is subject to due diligence, which must be completed before the close of this financial year.

Joyce said that on settlement, its debt will be reduced by more than $7.5 million after capital gains tax, resulting in its gearing to reduce to less than 15 per cent.

"The sale will underpin substantial financial security during the present economic environment," Joyce said in a statement.

"In addition, the release of the funds will enable the Group to make further strategic acquisitions / & or investments as opportunities emerge."

The company, which owns the Bedshed franchise, retains its industrial property in Moorebank near Sydney.

Shares in Joyce were unchanged at 72 cents at 11:55 AEDT.


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