Fleetwood Corporation sells Flexiglass business | Finance News Network

Fleetwood Corporation sells Flexiglass business

Company News

by Kathy Skantzos

Accommodation and recreational vehicle business Fleetwood Corporation (ASX:FWD) has agreed to sell its Flexiglass Challenge business to automotive accessories business Aeroklas Australia for $7 million.

Flexiglass is part of Fleetwood’s Parts and Accessories segment and has a book value of $10.9 million. The sale will result in a write down of approximately $4 million in goodwill.

Managing Director Brad Denison said after undertaking a strategic review of the business, the company formed the view that this business would be better suited to ownership by a company in the automotive parts and accessories sector.

The transaction is expected to be complete by 31 January 2018.

Shares in Fleetwood Corporation (ASX:FWD) closed 4.94 per cent higher to $2.76.