- Specialist building materials supplier SIG warned on profits and said it was selling its air handling and building solutions businesses.

SIG said it had agreed to sell its air handling division to France Air Management for €222.7m (£198.3m), including debt.

Separately, it had also agreed to sell its building solutions unit to Ireland's Kingspan for £37.5m.

The company said it expected to achieve further benefits from transformational initiatives, which, along with its normal seasonality, was still expected to deliver a 'stronger' second half.

'However, the recent further weakening of the trading backdrop as the group has entered its traditionally strongest trading months of the year means that the board is now anticipating, in both the specialist distribution and roofing merchanting businesses, significantly lower underlying profitability for the full year than its previous expectations,' SIG said.

The economic background had notably weakened in the UK and Germany, it added.

'This deterioration in trading conditions has accelerated over recent weeks, and political and macro-economic uncertainty has continued to increase,' SIG said. Story provided by