15 Nov 2021 07:00
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN OR INTO ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF THAT JURISDICTION
FOR IMMEDIATE RELEASE
15 November 2021
Ocean Outdoor Limited
Announcement of Strategic Review and Trading Update
Ocean Outdoor Limited ("Ocean" or the "Company" and together with its subsidiaries, the "Group") today announces that the Board has initiated a process to evaluate potential strategic and financial alternatives to maximise shareholder value.
The Board and management believe that Ocean is undervalued and that there is meaningful upside potential from the current share price, which has continued to face technical trading challenges unrelated to Ocean's strong business fundamentals and intrinsic value. The Company, operating with a purpose driven mission, has consistently executed clear organic and inorganic growth strategies and acquired seven premium digital assets since 2018. As a result, Ocean is now emerging from the pandemic in a position of strength with net cash on its balance sheet and as a pure-play digital asset, with a differentiated technology offering, that is well positioned to benefit from the significant recovery in OOH advertising that is underway.
For the benefit of our shareholders and the broader investment community, Ocean is hereby issuing 2021 guidance for the first time since the onset of the pandemic. While forecasting has been challenging given the uncertain environment, the Board and management expect full year 2021 revenues to be between £115m and £120m (equal to 33% - 39% growth from 2020, respectively) with a number of months in H2 2021 already exceeding 2019 levels, and with Adjusted EBITDA anticipated to exceed £16m. Ocean remains very well placed to take advantage of the post pandemic recovery continuing into 2022 with revenues and EBITDA on track to exceed 2019 levels. The Board of Ocean plans to provide formal 2022 guidance at the appropriate time.
The Board and management team welcome input from all shareholders throughout the strategic and financial review process. There can be no assurance that the review process will result in any transaction, or any assurance as to its outcome or timing.
This announcement contains inside information.
For further information please contact:
Ocean Outdoor Limited
Susann Jerry, Head of Corporate Communications 020 7292 6161
Yellow Jersey PR
Charles Goodwin, Annabel Atkins 07747 788 221
oceanoutdoor@yellowjerseypr.com
Forward Looking Statements
This announcement includes statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements may be identified by the use of forward-looking terminology, including the terms "anticipates", "believes", "could", "estimates", "expects", "intends", "may", "plans", "projects", "should" or "will", or, in each case, their negative or other variations or comparable terminology, "targets", "aims", "forecasts" or by discussions of strategy, plans, objectives, goals, future events or intentions.
These forward-looking statements include matters that are not historical facts. They appear in a number of places in this announcement and include, but are not limited to, statements regarding the Board's and Management's intentions, beliefs or current expectations concerning, among other things, the Group, results of operations, financial condition, prospects, growth and strategies of Ocean and the Group.
By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances. Forward-looking statements are not guarantees of future performance and the actual results of operations of Ocean and the Group, and the developments of the markets and the industries in which they operate, may differ materially from those described in, or suggested by, the forward-looking statements contained in this announcement. In addition, even if the results of operations of Ocean and the Group and the developments of the markets and the industries in which they operate are consistent with the forward-looking statements contained in this announcement, those results or developments may not be indicative of results or developments in subsequent periods. A number of risks, uncertainties and other factors could cause results and developments to differ materially from those expressed or implied by the forward-looking statements including, without limitation, general economic and business conditions, industry trends, competition, changes in law and regulation, currency fluctuations, changes in business strategy and political and economic uncertainty.
Forward-looking statements may, and often do, differ materially from actual results. Any forward-looking statements in this announcement reflect the Board's current view with respect to future events and are subject to risks relating to future events and other risks, uncertainties and assumptions relating to the Group's business, results of operations, financial condition, prospects, growth and strategies. Other than in accordance with its legal or regulatory obligations (including under the Listing Rules, the Disclosure Guidance and Transparency Rules, the Prospectus Regulation Rules and the Market Abuse Regulation (EU No. 596/2014) as it forms part of domestic law by virtue of the European Union (Withdrawal) Act 2018), Ocean is not under any obligation and Ocean expressly disclaims any intention or obligation (to the maximum extent permitted by law) to update or revise any forward-looking statements in this announcement, whether as a result of new information, future events or otherwise. Neither Ocean nor any of its directors, officers or advisers provides any representation, assurance or guarantee that the occurrence of the events expressed or implied in any forward-looking statements in this announcement will actually occur. You are cautioned not to place any undue reliance on these forward-looking statements, which speak only as at the date of this announcement.
Cautionary statement
This announcement is not intended to, and does not constitute or form part of, any offer or invitation to purchase, acquire, subscribe for, sell, dispose of or issue, or any solicitation of any offer to sell, dispose of, purchase, acquire or subscribe for, any security or a solicitation of any vote or approval, in any jurisdiction.
The release, publication or distribution of this announcement in jurisdictions other than the United Kingdom may be restricted by law and, therefore, any persons who are subject to the laws of any jurisdiction other than the United Kingdom should inform themselves about, and observe, any applicable requirements. Any failure to comply with these requirements or restrictions may constitute a violation of the securities laws or regulations of any such jurisdiction. This announcement has been prepared for the purposes of complying with English law and the UK Listing Rules and the information disclosed may not be the same as that which would have been disclosed if this announcement had been prepared in accordance with the laws and regulations of any jurisdiction outside of England.
White & Case is acting as legal adviser to Ocean in connection with this strategic review.