F&P Appliances sells Aust site

Photo / Richard Robinson

Fisher & Paykel Appliances Holdings has sold the majority of its Cleveland manufacturing site in Australia following the relocation of its refrigeration factory to Thailand.

With the exception for a small parcel of land, the site was sold unconditionally for A$21.5 million, with the proceeds used to reduce bank debt, Fisher & Paykel said in a statement today.

Under the arrangement the company will lease back a portion of the facilities to house its Queensland sales team and warehouse operations.

The sales is part of Fisher & Paykel's global manufacturing strategy launched two years ago, which has seen the company increasingly shift its operations offshore to low cost production centres.

Previously operations in Dunedin were relocated to Thailand, Mexico and Italy.

Shares rose 1.3 per cent on Friday to $1.58.

- NZPA