Gresham House sells final significant legacy asset for £2.1m

AIM-listed specialist alternative asset manager, Gresham House, has exchanged contracts with housebuilder and urban regeneration partner Countryside Properties for the sale of its five-acre site at Newton-le-Willows for a gross value of £2.1m, with completion expected in early 2018.

The sale represents the disposal of the last remaining significant legacy asset inherited when the current management team took over in December 2014, and brings the total consideration from the disposal of legacy assets to more than £18m, which is greater than the market capitalisation of the company prior to the new management team's involvement.

Proceeds from the sale will be added to the net cash balance sheet position and will support Gresham House's growth strategy as a specialist alternative asset manager.

Following completion, the company will have completed its transition from an "investment business" to a "trading business" and as such has had positive indications that it now qualifies for inheritance tax exemption under HMRC legislation through Business Relief for AIM listed companies.

Chief executive officer Tony Dalwood said: "We have delivered on our plan to transition Gresham House from a property focused investment trust to a specialist alternative asset manager, whilst generating shareholder returns through a focus on long term return on capital and profitability. We are now a pure play specialist alternative asset manager with strategies covering private equity, infrastructure, strategic public equity, renewables and forestry. We enter 2018 with strong organic and acquisition growth potential."

At 0845 GMT, the shares were up 1.7% to 422p.