Last checked at 31 Dec 2020 07:00
31 December 2020
Franchise Brands plc
("Franchise Brands" or the "Company")
Share purchase programme
Franchise Brands (AIM: FRAN) a multi-brand franchise business, announces that for the next six-month period from 1 January 2021 to 30 June 2021, the Company will continue its discretionary programme to buy ordinary shares of 0.5p each in the Company ("Ordinary Shares") up to an aggregate value of £200,000 (the "Programme").
The Company will use its employee benefit trust (the "EBT"), details of which were announced on 1 July 2020, to purchase Ordinary Shares. The Programme seeks to mitigate the dilutive impact of share option awards and to improve overall shareholder return. The EBT conducts market purchases of Ordinary Shares to satisfy potential future option exercises by employees (but not directors).
During the period 1 July 2020 to 31 December 2020, the EBT purchased 264,848 Ordinary Shares at an average price of 96 pence per share. 109,223 Ordinary Shares have been used to satisfy the exercise of options over Ordinary Shares. Accordingly, the EBT currently holds 155,625 Ordinary Shares which represents 0.16 per cent. of the Company's current issued share capital.
The Company and the EBT have entered into arrangements with the Company's joint broker, Dowgate Capital Limited ("Dowgate"), to carry out on-market purchases of Ordinary Shares under the Programme, including on a discretionary basis independent of the Company during any prohibited periods of the Company, as determined by the Market Abuse Regulation 596/2014/EU ("MAR"), which may fall during the period of the Programme.
The Company was granted authority by its shareholders at the Company's Annual General Meeting ("AGM") on 28 April 2020 to purchase up to 7,971,076 Ordinary Shares (which represents 8.32 per cent. of the current issued share capital) subject to a maximum price limit, as detailed in the AGM notice. This authority will expire at the end of the next AGM of the Company in 2021 or, if earlier, at the close of business on 28 July 2021.
Enquiries:
Franchise Brands plc | + 44 (0) 1625 813231 |
Stephen Hemsley, Executive Chairman | |
Chris Dent, Chief Financial Officer | |
Julia Choudhury, Corporate Development Director | |
Allenby Capital Limited (Nominated Adviser and Joint Broker) | +44 (0) 20 3328 5656 |
Jeremy Porter / Liz Kirchner (Corporate Finance) Amrit Nahal (Sales) | |
Dowgate Capital Limited (Joint Broker) | +44 (0) 20 3903 7715 |
James Serjeant / Colin Climie | |
MHP Communications (Financial PR) | +44 (0) 20 3128 8100 |
Katie Hunt | +44 (0) 7884 494112 |
franchisebrands@mhpc.com |
About Franchise Brands plc
Franchise Brands is focused on building market-leading businesses in selected customer segments using primarily a franchise model. The Group currently has a combined network of over 400 franchisees across five franchise brands. Our focus is on established brands which can benefit from our shared support services, specialist sector expertise, management experience and group resources.
The Group is organised into a B2B division comprised of Metro Rod, Metro Plumb and Willow Pumps, and a B2C division that incorporates ChipsAway, Ovenclean and Barking Mad. This divisional organisation of our brands is designed to provide a greater focus and structure to support the strategic development of our B2B and B2C brands.
Each of our brands are leaders in their respective markets and each brand has a long trading history. The combined trading history of all the Group's brands is over 135 years.
Franchise Brands plc employs some 250 people across three principal locations in Macclesfield, Kidderminster and Aylesford.
For further information, visit www.franchisebrands.co.uk.