Guinness Peat Group (GPG) will make a small profit when it sells its stake in ClearView following the takeover by Crescent Capital.

According to GPG’s half-year accounts, its Clearview investment was worth £81 million ($124 million) on June 30.

Based on Crescent’s offer of 55 cents a share, GPG will receive about $116 million from the takeover, plus $8.42 million from the four-cent dividend to be paid by Clearview.

GPG also owns 33.6% of Tower in New Zealand, which was valued at £83 million ($127 million) on June 30.

GPG Chairman Rob Campbell says Tower’s value has improved since the release of the insurer’s results in May – but the company could do better.

“We have encouraged the board and management of Tower to undertake a review of its strategies and we await news of the results of this review,” he said.

“Despite the recent strengthening in Tower’s share price, we believe the value of Tower’s component parts is not being fully reflected.” 

Mr Campbell says GPG believes Tower should “embark on an immediate process to optimise the structure and composition of its businesses”.

GPG reported a net loss of £36 million ($55.1 million) for the six months to June 30, compared with a £13 million ($20 million) profit in the previous corresponding period.

Mr Campbell says this year’s result has been hit by a €110 million ($133.6 million) fine imposed by the European Court on GPG-owned industrial thread company Coats.