Notes 11-20

11. Disposal of subsidiary

In December 2015, the Group sold its US specialty foods distribution business, DPI Specialty Foods, Inc., to a consortium led by Arbor Investments. As part consideration for the sale, the Group received a 20% stake in both the common equity and preferred shares of Nextwave Distribution Holdings Inc., the company formed to acquire DPI Speciality Foods Inc.

 2015
€’000
Details of the net assets disposed are as follows:
Intangible assets (note 8)5,829
Tangible assets (note 9)25,521
Other investments (note 12)108
Stock91,391
Debtors78,746
Cash*193
Creditors(87,475)
114,313
Consideration188,510
Transaction costs*(6,641)
Profit on disposal before bonus payment67,556
Bonus payable to members(15,000)
Profit on disposal after bonus payment52,556
Consideration
Received in cash*176,552
20% stake in common equity of Nextwave Distribution Holdings Inc. (note 12)1,197
20% stake in preferred shares of Nextwave Distribution Holdings Inc. (note 12)10,761
188,510

* Cash received, net of cash disposed and net of transaction costs was €169,718k.

The Board of Ornua Co-operative agreed to pay an additional cash bonus to members financed by the gain arising on the sale of DPI. The additional bonus of €15m was approved in 2015 and will be paid in April 2016.

Discontinued operations throughout this report refers to the entity DPI Specialty Foods, Inc., and its subsidiaries, which were disposed of in December 2015.