Sonoco Trident buys Imagelinx group for $3.27m

Minus net debt and adjustments to working capital the value is expected to be in the region of $0.9m.

A spokesman for Imagelinx said the Board took the view the group was of insufficient scale to compete effectively in the global market and it was in the best interests of shareholders and all other stakeholders that the business should be sold to Trident.

Trident will retain total retentions of approximately $0.9m to meet any claims that may arise under warranties provided in the sale and purchase agreement and to meet an environmental claim in one of the Imagelinx properties.

It is expected the majority of these retention funds will be paid to Imagelinx on or before the expiry of the retention period which is April, 30, 2014.

Imagelinx will use the proceeds to meet liabilities such as legal and advisory fees and redundancy costs of management who are not transferring and arrange an orderly return of funds to shareholders.

It said it is not possible to quantify at this stage the likely level of funds that can be returned to shareholders, but after allowing for all of the above costs, it is estimated the return could be in the region of $0.77m to $1.16 m.

Further details as to the timing, amount and process will be given to shareholders later this year.