Victoria has completed the sale of one of its key distribution centres.
The group has leased back its Belgian distribution centre – the key European distribution hub for Balta Rugs – after selling it for €34.4m.
Lease terms were not disclosed.
Victoria is in the middle of moving Balta’s rug production to Turkey and the proceeds are expected to cover the cost of the move.
The sale price compares to a net book value of €5.6m as at 31 January and existing tax losses will be utilised to mitigate capital gains tax.
The relocation is expected to be completed during Q3 FY2027. Balta Rugs will continue to use the 1,032,960sqft Waregem site.
‘Alongside two additional surplus property disposals that are in process, the proceeds are expected to fully fund the exceptional costs and capital expenditure associated with the transfer of manufacturing to Turkey,’ says the group.
