Last checked at 7 Nov 2012 16:14
FOR IMMEDIATE RELEASE 7 November 2012
CHEMRING GROUP PLC
Response to statement by The Carlyle Group
Chemring Group PLC ("Chemring" or "the Company") notes today's announcement by The Carlyle Group ("Carlyle") that it does not intend to make an offer for the Company.
On 17 August 2012 Chemring announced that it had received a highly preliminary expression of interest from The Carlyle Group ("Carlyle") in relation to a possible offer for the Company. In accordance with Rule 2.6(a) of the Code, Carlyle was required, by not later than 5.00 p.m. on 14 September 2012, to announce a firm intention to make an offer for Chemring in accordance with Rule 2.7 of the Code or announce that it did not intend to make an offer. At the request of the Company, the Panel consented to an extension of this deadline on 14 September and again on 12 October, to enable the parties to continue their on-going discussions regarding a possible offer for the Company.
The Company will give a further update on 27 November in respect of its preliminary results for the year ended 31 October 2012, which are expected to be announced on 24 January 2013.
Whilst Chemring continues to face near term challenges resulting from defence budget constraints in its NATO markets, which are not expected to ease in the immediate future, the Company has market leading positions and manufacturing expertise in the fields of counter-IED, countermeasures, munitions and pyrotechnics. In addition, the Company's non-NATO markets will continue to provide the business with further opportunities and gives a balanced exposure to global defence spending.
Following the announcement on 23 October, Mark Papworth has now joined the Company as Chief Executive Officer. Prior to joining Chemring, Mark served as CEO of the Gas Turbines Services division of Wood Group plc, a leading FTSE100 company. During Mark's tenure at Wood Group, he implemented and delivered a strategic review which resulted in a successful turnaround, improved manufacturing capabilities and substantial improvements in profitability.
-ENDS-
Chemring Group
Rupert Pittman Director of Communications and Investor Relations
01489 881 880 / rupertp@chemring.co.uk
MHP Communications
Andrew Jaques / James White
0203 128 8100