Last checked at 8 Oct 2019 07:01
8 October 2019
Motorpoint Group PLC
("Motorpoint" or the "Company")
Share Buyback Programme
Motorpoint Group PLC is pleased to announce a new share buyback programme, of up to £10 million (the "Programme").
The Programme replaces the Company's previous share buyback programme of up to £10m which was announced on 7 May 2019 and which has now completed. The Company still has shareholder authority to repurchase 6,240,989 Ordinary Shares as approved at its last AGM (being the balance of the 9,511,989 Ordinary Shares within the buyback authority). Given the continuing strong cash generation of the Company, the Board has decided to launch a new Programme for up to £10m.
The maximum daily number of ordinary shares that will be purchased is 178,000 shares, which is less than 25% of the average daily volume traded in September 2019, the month prior to this announcement. The Programme is currently expected to end no later than the date of the Company's 2020 annual general meeting. The principal purpose of the Programme is to reduce the share capital of the Company and return funds to shareholders who sell their Ordinary Shares; repurchased Ordinary Shares will typically be cancelled, although the Programme allows for Ordinary Shares to be held in treasury at the Company's discretion to help satisfy employee share plan obligations.
In order to effect the Programme, Motorpoint has entered into an agreement with the Company's joint broker, Shore Capital Stockbrokers Limited ("Shore Capital"), to carry out on-market purchases of its Ordinary Shares. This agreement includes provisions giving Shore Capital authority to carry out market purchases under the Programme independently of the Company.
The Programme will be conducted in compliance with the Market Abuse Regulation (EU) No. 596/2014, Commission Delegated Regulation (EU) No. 2016/1052 and Chapter 12 of the Financial Conduct Authority's Listing Rules. Details of all purchases made pursuant to the Programme will be announced via RNS and published on the Company's website as required by the Market Abuse Regulation.
Enquiries:
Motorpoint Group PLC Mark Carpenter, Chief Executive Officer James Gilmour, Chief Financial Officer Manjit Virk, Company Secretary
| via FTI Consulting |
FTI Consulting (Financial PR) Jonathon Brill Alex Beagley James Styles Sam Macpherson | 020 3727 1000 |
Certain information contained in this announcement would have constituted inside information (as defined by Article 7 of Regulation (EU) No 596/2014) prior to its release as part of this announcement.
Notes to editors
Motorpoint is the largest independent vehicle retailer in the United Kingdom. The Group's principal business is the sale of nearly-new vehicles, the majority of which are up to two years old and which have covered less than 15,000 miles. Motorpoint sells vehicles from brands representing over 95 per cent of new vehicle sales in the United Kingdom, with models from Ford, Vauxhall, Volkswagen, Nissan, Hyundai, Audi and BMW being amongst the top sellers. The Group operates from 12 retail sites across the United Kingdom; Derby, Burnley, Glasgow, Newport, Peterborough, Chingford, Birmingham, Widnes, Birtley, Castleford, Oldbury and Sheffield of which five have opened in the last five years; together with a national contact-centre dealing with online enquiries.
More information is available at www.motorpointplc.com and www.motorpoint.co.uk.