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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of Report (Dates of Earliest event reported) July 23, 1999
EPL Technologies, Inc.
(Exact name of registrant as specified in its charter)
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<S> <C> <C>
Colorado 0 - 28444 84-0990658
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
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2 International Plaza, Suite 245, Philadelphia, PA 19113
(Address of principal executive offices) (Zip Code)
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Registrant's telephone number, including area code (610) 521-4400
Not Applicable
(Former name or former address, if changed since last report.)
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ITEM 2. DISPOSITION OF ASSETS
On July 23, 1999 the Company completed the sale and leaseback of the
land and buildings at its Spanish trading subsidiary, Fabbri Artes Graficas
Valencia S.A., to take advantage of the opportunity to raise further capital.
The arms length transaction was completed with Apex 2000 Grupo Iberdrola, a
party unrelated to the Company or any of its affiliates or associates. The
Company raised gross proceeds, before costs and taxes, of PTS800,000,000
(approximately $5,000,000). The Company will use the proceeds to pay down some
of its existing debt (estimated at up to $1,500,000) and otherwise for working
capital and other purposes. For tax reporting purposes, the Company expects to
record a pretax profit of approximately $2,600,000 on this disposal. The tax on
this profit can be deferred for up to 10 years under Spanish tax rules. For
financial reporting purposes, the gain will be recognized substantially over the
eight year life of the lease. In relation to this transaction, the Company
terminated the credit facility of $3,000,000 that it had had since March 1999
with a UK asset management and investment advisory firm.
On July 30, 1999 Bruce M Crowell, Vice-President and Chief Financial
Officer, left the Company by mutual consent to pursue other interests. The
Company believes that most of Mr Crowell's duties can be covered by current
staff and in the interim Timothy B Owen, who has been with the Company for a
number of years, most recently as Treasurer, will serve as acting Chief
Financial Officer.
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND
EXHIBITS
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a) Not Applicable
b) Not Applicable
c) Not Applicable
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Dated : August 4, 1999 EPL Technologies, Inc.
By: /s/Paul L. Devine
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Paul L. Devine
Chairman and President
