23 Oct 2014

Nuplex may return capital

9:25 am on 23 October 2014

Nuplex says it may return capital to shareholders after selling two Australasian businesses to a private equity-supported firm for $A127.5 million.

The sale of Nuplex Specialties and Nuplex Masterbatch to Axieo, a company funded by CHAMP Private Equity, will leave Nuplex as a global resins supplier.

Nuplex says the sale price was at a premium, but did not disclose how much.

Chief executive Emery Severin said his company is considering all capital management options.

Nuplex shares rose nearly 4 percent to $ 3.20 yesterday after the sale was announced. Milford Asset Management analyst Brooke Bone said they may be re-rated as a result of the sale.

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