Clyde Process Solutions plc

(“CPS” or the “Group”)

Successful Resolution of Turkish Fertilizer Contract 

Clyde Process Solutions plc (AIM: CPSP), a global provider of pneumatic conveying and air filtration solutions for process industries, is pleased to announce the successful resolution of a long running contractual dispute with a Turkish producer of fertilizer products. It is expected this will contribute an additional unforecasted £0.9 million to the Group’s earnings during the current financial year. 

CPS provided the fertilizer producer with a range of material handling systems that were installed on their fertilizer pellet plant. However, the customer declined to pay the contract in full, which resulted in the Group initiating legal proceedings in Turkey thirteen years ago. The Group has relentlessly pursued the full recovery of this debt, but felt it prudent to fully provide the debt in its accounts. The successful outcome to the court proceedings and the receipt of the debt in cash now enables CPS to release the bad debt provision built up on the Group’s balance sheet. The final amount of £0.9 million consists of an award from the Turkish courts as well as interest covering the long delay in resolving this payment. 

Commenting on the successful resolution of this contract, Alex Stewart, Chief Executive of Clyde Process Solutions plc said: “We are delighted to close this contract after a thirteen year period and I wish to thank, in particular, our legal and commercial teams for their perseverance and determination in securing this outcome. This recovered item will contribute an additional unforecasted £0.9 million to our earnings result and also strengthens our cash flow in this current financial period.” 

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Notes to Editors 

Clyde Process Solutions plc is a global provider of pneumatic conveying and air filtration solutions for process industries.  The Group is primarily involved with the design and implementation of energy efficient, environmentally beneficial solutions, which are used to handle the raw materials required to produce commodities such as metals, cement, chemicals and ethanol.  The use of pneumatic conveying and air filtration technologies enables CPS’s clients to solve challenges associated with other methods of conveying, including dust and material spillage and subsequent possible contamination of both operational environments and the local communities in which the manufacturing facilities are based.   

The Group has an extensive, global reference list and has used its technologies to improve the operational effectiveness of their customers’ production processes. 

The Group has two principal subsidiaries: 

Clyde Process Solutions has close to 40 years of experience in the pneumatic conveying and air filtration industry, backed by a wealth of process knowledge.  The company employs over 500 staff throughout 10 worldwide offices to support its global customer base.  

For further information, please see www.clydeprocesssolutions.com