Ultimate
Products plc
("Ultimate Products", "Company" or "the Group")
Launch of Share Buyback
Programme
Further to its announcements of 9
April 2024 and 2 May 2024, Ultimate Products, the owner of a number
of leading homeware brands including Salter (the UK's oldest
houseware brand, est.1760) and Beldray (est.1872), announces that
it will commence a share buyback programme in respect of its
ordinary shares of 0.25 pence each in the Company ("Ordinary
Shares") from the date of this announcement (the "Share Buyback
Programme").
The Share Buyback Programme will
operate in accordance with the terms of Company's general authority
to purchase a maximum of 8,931,245 Ordinary Shares gained at the
Company's General Meeting held on 2 May 2024 ("General Meeting").
Any Ordinary Shares purchased under the Share Buyback Programme
will be cancelled and the number of Ordinary Shares in issue
reduced accordingly.
The Company expects the Share
Buyback Programme to be completed in tranches, over defined time
periods, with the first tranche consisting of up to a maximum
consideration of £1 million to purchase Ordinary Shares until 31
July 2024 ("Tranche 1"). The Company has given irrevocable and
non-discretionary instructions to Shore Capital Stockbrokers
Limited ("Shore Capital") in relation to Tranche 1. Shore Capital
will act as principal during Tranche 1 and will make trading
decisions concerning the timing of the purchases of Ordinary Shares
independently of the Company. The Company will announce subsequent
tranches of the Share Buyback Programme prior to the initiation of
each new tranche. These tranches are expected to alternate between
the Company's joint brokers, in each case acting as
principal.
The maximum price which may be paid
for an Ordinary Share pursuant to the Share Buyback Programme is an
amount equal to the higher of: (i) 105 per cent. of the average of
the middle market quotations for an Ordinary Share for the five
dealing days immediately preceding the day on which the Ordinary
Share is purchased; and (ii) the value of an Ordinary Share
calculated on the basis of the higher of the price quoted for: the
last independent trade of, and the highest current independent bid
for, any number of the Ordinary Shares on the trading venue where
the purchase is carried out. The minimum price which may be paid
for an Ordinary Share is an amount equal to its nominal
value.
It is the intention that the Share
Buyback Programme will be conducted within the pricing parameters
of the Market Abuse Regulation. However, given the limited
liquidity in the issued Ordinary Shares, the Company has agreed
that, on any trading day, a buyback of Ordinary Shares under the
Share Buyback Programme may exceed 25 per cent. but remain below 50
per cent. of the average daily trading volume in the Ordinary
Shares in the 20 trading days preceding the date on which a
buy-back of Ordinary Shares is carried out. Accordingly, the
Company may not benefit from the exemption contained in the
Regulations.
Any market repurchase of Ordinary
Shares will be announced no later than 7:30 a.m. on the business
day following the calendar day on which the repurchase
occurred.
Details of the authority granted at
the General Meeting can be found on our website under:
https://upplc.com/investor-relations/annual-meeting/
This announcement contains inside
information for the purposes of the Market Abuse Regulation (EU)
no. 596/2014 (including as it forms part of the laws of England and
Wales by virtue of the European Union (Withdrawal) Act 2018)
('MAR').
For more information, please
contact:
Ultimate Products +44 (0) 161 627
1400
Andrew Gossage, CEO
Chris Dent, CFO
Shore Capital +44 (0) 20 7408
4090
Mark Percy
Malachy McEntyre
David Coaten
Harry Davies-Ball
Isobel Jones
Cavendish Capital Markets Limited +
44 (0)20 7220 0500
Carl Holmes (Corporate
Finance)
Matt Goode (Corporate
Finance)
Abigail Kelly (Corporate
Finance)
Charlie Combe (ECM)
Powerscourt +44 (0) 207 250
1446
Rob Greening
Sam Austrums
Oliver Banks
Notes to Editors
Ultimate Products is the owner of a
number of leading homeware brands including Salter (the UK's oldest
houseware brand, established in 1760) and Beldray (a laundry, floor
care, heating and cooling brand that was established in 1872).
According to its market research, nearly 80% of UK households own
at least one of the Group's products.
Ultimate Products sells to over 300
retailers across 38 countries, and specialises in five product
categories: Small Domestic Appliances; Housewares; Laundry; Audio;
and Heating and Cooling. Other brands include Progress (cookware
and bakeware), Kleeneze (laundry and floorcare), Petra (small
domestic appliances) and Intempo (audio).
The Group's products are sold to a
broad cross-section of both large national and international
multi-channel retailers as well as smaller national retail chains,
incorporating discount retailers, supermarkets, general retailers
and online retailers.
Founded in 1997, Ultimate Products
employs over 370 staff, a significant number of whom have joined
via the Group's graduate development scheme, and is headquartered
in Oldham, Greater Manchester, where it has design, sales,
marketing, buying, quality assurance, support functions and
warehouse facilities across two sites. Manor Mill, the Group's head
office, includes a spectacular 20,000 sq ft showroom that showcases
each of its brands. In addition, the Group has an office and
showroom in Guangzhou, China and in Paris, France.
Please note that Ultimate Products
is not the owner of Russell Hobbs. The company currently has
licence agreements in place granting it an exclusive licence to use
the "Russell Hobbs" trademark for cookware and laundry (NB this
does not include Russell Hobbs electrical appliances).
For further information, please
visit www.upplc.com.
