13
March 2024
Completion of Block Trade of
436,851,457 Ordinary Shares in ITC Limited
Further to our announcement on 12 March 2024,
BAT PLC ("BAT or the "Group") has completed the block trade of
436,851,457 ordinary shares (the "Block Trade Shares") in ITC
Limited ("ITC") to institutional investors by way of an accelerated
bookbuild process (the "Block Trade"). The Block Trade Shares
represent c.3.5 per cent of ITC's issued ordinary share
capital.
Net proceeds from the Block Trade amount to INR
166.9bn (approximately £1.5bn at current exchange rates). As
indicated in our announcement made on 12 March 2024, BAT intends to
use the net proceeds to buy back BAT shares over a period ending
December 2025, starting with £700m in 2024. This will enable the
allocation of operating cashflow to fund investment in our
transformation, continue to deleverage towards our new target range
of 2-2.5x adjusted net debt / adjusted EBITDA, while also
maintaining a progressive dividend and supporting a sustainable
share buyback.
ENDS
Enquiries
Media Centre
+44 (0) 20 7845 2888 (24 hours) |
press_office@bat.com | @BATplc
Investor Relations
Victoria Buxton: +44 (0)20 7845 2012 |
IR_team@bat.com
About BAT
BAT is a leading, multi-category consumer goods
business. Our purpose is to create A Better Tomorrow™ by Building a
Smokeless World. This commitment is demonstrated by our ambition to
generate 50% of our revenue from non-combustible products by
2035.
The company continues to be clear that
combustible cigarettes pose serious health risks, and the only way
to avoid these risks is not to start or to quit. To help Build a
Smokeless World, BAT encourages those who would otherwise continue
to smoke to switch completely to scientifically-substantiated
alternatives.
BAT aims to have 50 million consumers of its
non-combustible products by 2030 and to generate £5 billion of New
Categories revenue by 2025. BAT has a range of Sustainability
targets, including a 50% reduction in Scope 1 and 2 GHG emissions
and a 50% reduction in Scope 3 GHG emissions by 2030 (vs 2020
baseline), and 100% of packaging to be reusable, recyclable or
compostable by 2025.
BAT employs over 46,000 people and, in
2023, the BAT Group generated revenue of £27.28
billion, with an adjusted profit from operations of £12.46
billion.
The company's Strategic Portfolio is made up of
its global cigarette brands and a growing range of nicotine and
smokeless tobacco products. These include our Vapour brand Vuse;
our Heated Product brand glo; and Velo our Modern Oral (nicotine
pouch) brand. These New Category products have delivered more than
£3 billion in annual revenue since their introduction a decade
ago.
We currently have 24 million consumers of
non-combustible products, the revenue from which accounted for
16.5% of Group revenue in 2023.
* Based on the weight of evidence
and assuming a complete switch from cigarette smoking. These
products are not risk free and are addictive.
† Our vapour product Vuse
(including Alto, Solo, Ciro and Vibe), and certain products,
including Velo, Grizzly, Kodiak, and Camel Snus, which are sold in
the U.S., are subject to FDA regulation and no reduced-risk claims
will be made as to these products without agency
clearance.
Further
information
The
securities referred to herein will not be, and have not been,
registered under the United States Securities Act of 1933, as
amended (the "Securities Act") and may not be offered or sold in
the United States absent registration or an applicable exemption
from the registration requirements of the Securities
Act.
Forward-looking statements
This release
contains certain forward-looking statements, including
"forward-looking" statements made within the meaning of the U.S.
Private Securities Litigation Reform Act of 1995. These statements
are often, but not always, made through the use of words or phrases
such as "believe," "anticipate," "could," "may," "would," "should,"
"intend," "plan," "potential," "predict," "will," "expect,"
"estimate," "project," "positioned," "strategy," "outlook",
"target" and similar expressions. These include statements
regarding our customer target ambition, New Categories revenue
targets and our ESG targets, as well as statements regarding the
sale of the Block Trade Shares and the use of proceeds
therefrom.
All such
forward-looking statements involve estimates and assumptions that
are subject to risks, uncertainties and other factors. It is
believed that the expectations reflected in this release are
reasonable but they may be affected by a wide range of variables
that could cause actual results to differ materially from those
currently anticipated. A review of the reasons why actual results
and developments may differ materially from the expectations
disclosed or implied within forward-looking statements can be found
by referring to the information contained under the headings
"Cautionary Statement" and "Group Principal Risks " in the 2023
Annual Report and Form 20-F of British American Tobacco p.l.c.
(BAT).
Additional
information concerning these and other factors can be found in
BAT's filings with the U.S. Securities and Exchange Commission
("SEC"), including the Annual Report on Form 20-F and Current
Reports on Form 6-K, which may be obtained free of charge at the
SEC's website, http://www.sec.gov and BAT's Annual Reports, which
may be obtained free of charge from the BAT
website www.bat.com.
Past
performance is no guide to future performance and persons needing
advice should consult an independent financial adviser. The
forward-looking statements reflect knowledge and information
available at the date of preparation of this release and BAT
undertakes no obligation to update or revise these forward-looking
statements, whether as a result of new information, future events
or otherwise. Readers are cautioned not to place undue reliance on
such forward-looking statements.