Seafield sells property arm for pounds 7m

SEAFIELD, the transport and storage group, is pulling out of property with the sale of Charterhall for pounds 7m, writes Neil Thapar.

The buyer, Able Corporation, will also assume pounds 15m of Charterhall's bank debts, reducing Seafield's net borrowings to about pounds 6m - equivalent to about half its shareholders' funds.

In turn, Able is expected to sell on Charterhall's 10 properties, including the five-year-old Clapham Junction shopping centre, in London, to Burford Holdings, the property investment group, for pounds 19.3m.

Brian Chilver, Seafield's chairman, said that the sale proceeds would be used to develop its transport and warehousing activities.

The group yesterday reported a fall in pre-tax loss to pounds 1.1m for the half-year to June, from pounds 1.5m for last year's first half.