7 Mar 2017 07:00
For immediate release 7 March 2017
CareTech Holdings PLC
("CareTech" or "the Group")
AGM Statement
CareTech Holdings PLC (AIM: CTH), a pioneering provider of specialist social care services in the UK, will hold its Annual General Meeting at 10.00am today.
At the meeting, CareTech's Executive Chairman, Farouq Sheikh, will make the following statement:
"I am pleased to report that CareTech's trading performance in the year to date is in line with the Board's expectations. Demand for our services remains at a very encouraging level, and we are excited by the growth opportunities available to the Company. We operate in a fragmented and growing market where outsourcing to the private sector is rising and where the increasingly stringent regulatory environment is driving consolidation.
"As is usual at this time of year there are a number of ongoing fee discussions with local authorities, again including the Living Wage increases from 1 April 2017. Whilst it is early in this process, initial indications are that the current fee environment is consistent with our expectations, which anticipate a positive change compared with 2016.
"CareTech's commitment to the highest standards of care, and our strategy of working with care commissioners to deliver innovative services, mean that we are well positioned to benefit from the opportunities arising in the growth of the social care industry.
"Since the last AGM we have deployed the funds from the ground rent transaction that raised £30m in February 2016 on an earnings enhancing acquisition, which is performing in line with expectations, and on a number of properties that are being redeveloped.
"The Board's view remains that CareTech's continued development of its care pathway model, to provide high quality care for children and adults and to deliver value for money, positions the Group favourably in the public sector funding environment."
For further information, please contact:
CareTech Holdings PLC 01707 601800
Farouq Sheikh, Executive Chairman
Michael Hill, Group Finance Director
Buchanan (PR Adviser) 020 7466 5000
Mark Court
Sophie Cowles
Stephanie Watson
Panmure Gordon (Nomad and Joint Broker) 020 7886 2500
Freddy Crossley
Peter Steel
Charles Leigh-Pemberton
WH Ireland (Joint Broker) 020 7220 1666
Adrian Hadden
Nick Prowting
About CareTech
CareTech Holdings plc is a leading provider of specialist social care services, supporting adults and children with a wide range of complex needs in more than 250 specialist services around the UK.
Committed to the highest standards of care and care governance, CareTech provides its innovative care pathways through five divisions covering adult learning disabilities, mental health, young people residential services, foster care and learning services.
CareTech, which was founded in 1993, began trading on the AIM market of the London Stock Exchange in October 2005 under the ticker symbol CTH. Its freehold portfolio comprises more than 195 properties.
For further information please visit: www.caretech-uk.com