Canopy Growth stock tumbles after announcing $200 million share sale plan
LONDON - Carr’s Group plc (LSE:CARR), an agriculture-focused business, has announced the completion of the sale of its Engineering Division to Cadre Holdings, Inc. The transaction, which was initially disclosed on January 16, 2025, was finalized for a cash consideration that values the division at £75 million, on a cash-free, debt-free basis.
The sale is part of Carr’s strategic shift towards becoming a pure-play global agriculture company. The company’s board plans to return up to £70 million to shareholders through a Capital Return, pending shareholder approval, with the remaining proceeds aimed at bolstering the Agriculture division and funding strategic growth.
Carr’s has also provided an update on its ’Agriculture Strategy’, which includes improving operating margins, driving profitable growth in the core business, and expanding into new grazing-based geographies. The strategy is spearheaded by Josh Hoopes and his leadership team, with further details expected to be shared during the Group’s interim results announcement.
The company has confirmed that there has been no significant change since the initial disposal announcement that would affect any matter contained therein. The ongoing separate sale process for Chirton Engineering, a subsidiary not included in the Cadre deal, is reportedly progressing well.
David White, CEO of Carr’s, expressed his satisfaction with the sale’s completion and the progress made in implementing the new Agriculture Strategy. He also thanked the Engineering Division’s staff for their contributions and wished them success under the new ownership.
Carr’s will release its results for the six months ended February 28, 2025, on May 7, 2025. The company has not disclosed any further financial details regarding the transaction or the anticipated Capital Return.
The information reported is based on a press release statement from Carr’s Group plc.
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