Hornby Sells Oxford Diecast for £1.4 Million

Hornby PLC has agreed to sell its loss-making subsidiary, LCD Enterprises, which includes the Oxford Diecast brand, to EKD Enterprises for approximately £1.4 million. This strategic move is part of Hornby's efforts to streamline operations and improve profitability following a reported loss of £187,005 on revenues of around £2.5 million for the year ending March 31. The sale will allow Hornby to focus on its core brand, Corgi, as it continues to adapt to market changes. Following the announcement, Hornby shares saw a rise of 8.3%, reflecting positive investor sentiment. Non-executive chairman Neil Sachdev emphasized the importance of rationalizing the portfolio to provide a coherent offering to customers and foster a new generation of hobbyists. The company has seen a 20% increase in shares over the past year, despite a 40% decline over the last five years.