Last checked at 21 Feb 2024 07:00
Launch of ?15 Million Share Buyback Programme
Dublin, London 21 February 2024: C&C Group plc ('C&C' or the 'Group'), owners of the Tennent's, Magners and Bulmers Ireland brands, and Matthew Clark and Bibendum Wine, announces that it will commence a share buyback programme on 1 March 2024 to repurchase ordinary shares of the Group (the "Shares") up to a maximum aggregate consideration of ?15 million (the "Programme").
The Programme forms part of the Group's plan to return up to ?150 million to shareholders over the next three fiscal years as announced in October 2023 through a combination of dividends and share buybacks and follows the reinstatement of dividend payments last year. The Programme is underpinned by the Board's confidence in the medium-term outlook for the business and its strong cash generation capabilities. The Board also believes that the Programme represents the most effective use of capital in the current environment.
Details of the Programme
The Group has entered into an agreement with J&E Davy ("Davy") to act as principal to conduct the Programme and to repurchase Shares on the Group's behalf for a maximum aggregate consideration of up to ?15 million and to make trading decisions under the Programme in accordance with certain pre-set parameters. Under the terms of the agreement, Davy will make purchases of the Shares under the Programme independently of, and uninfluenced by, the Group.
The Programme will commence on 1 March 2024, and end no later than 30 June 2024, subject to market conditions. The purpose of the Programme is to reduce the share capital of the Company in line with this announcement. Under the terms of the Programme, the Shares will be repurchased on the London Stock Exchange and will be cancelled. The Programme will be conducted in accordance with:
(i) the Group's general authority to repurchase shares (which authorises the repurchase of up to 40,270,889 Shares, being approximately 10% of the issued share capital of the Group), as approved by shareholders at the Group's AGM held on 13 July 2023 (the "Authority"); and
(ii) the Market Abuse Regulation (EU) No 596/2014 and the Commission Delegated Regulation (EU) No 2016/1052 (including as each of them forms part of retained EU law in the United Kingdom ("UK") from time to time, including, where relevant, pursuant to the UK's European Union (Withdrawal) Act 2018 and Market Abuse (Amendment) (EU Exit) Regulations 2019) as well as the applicable laws and regulations of the UK Financial Conduct Authority.
The execution of the Programme may be augmented by the purchase of Shares by way of block trades effected by Davy as agent of the Group. The maximum number of Shares which can be repurchased by the Group under the Programme will be reduced by the corresponding number of Shares repurchased pursuant to any such block trades. Any Shares repurchased through block trades will also count towards the maximum consideration payable by the Group.
Details of any Shares repurchased under the Share Buyback Programme will be notified to a Regulatory Information Service by the Group following repurchase. Purchases may continue under the Programme during any closed period to which the Company is subject. The Company confirms that it currently has no unpublished inside information.
There is no guarantee that the Programme will be implemented in full or that any Shares will be bought back by the Group.
ENDS
Contacts
C&C Group plc Riona Heffernan, Group Finance & Investor Relations Director
Email: riona.heffernan@candcgroup.com
Investors, Analysts & Media
FTI Consulting
Jonathan Neilan / Paddy Berkery / Aline Oliveira
Tel: +353 86 231 4135 / +353 86 602 5988 / +353 83 833 1644
Email: CandCGroup@fticonsulting.com
About C&C Group plc
C&C Group plc is a leading, vertically integrated premium drinks company which manufactures, markets and distributes branded beer, cider, wine, spirits, and soft drinks across the UK and Ireland.
C&C Group's portfolio of owned/exclusive brands include: Bulmers, the leading Irish cider brand; Tennent's, the leading Scottish beer brand; Magners the premium international cider brand; as well as a range of fast-growing, premium and craft ciders and beers, such as Heverlee, Menabrea, Five Lamps and Orchard Pig. C&C exports its Magners and Tennent's brands to over 40 countries worldwide.C&C Group has owned brand and contract manufacturing/packing operations in Co.Tipperary, Ireland and Glasgow, Scotland.C&C is the No.1 drinks distributor to the UK and Ireland hospitality sectors. Operating through the Matthew Clark, Bibendum, Tennent's and Bulmers Ireland brands, the Group has a market leading range, scale and reach including an intimate understanding of the markets it serves. Together this provides a key route-to-market for major international beverage companies.
C&C Group is a FTSE 250 company headquartered in Dublin and is listed on the London Stock Exchange.