REG - CVS Group plc - Intention to move to Main Market & Buyback Scheme

CVSAnnouncement

Yesterday 07:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20251024:nRSX7316Ea&default-theme=true

RNS Number : 7316E  CVS Group plc  24 October 2025

For Immediate
Release
                            24 October 2025

 

THIS ANNOUNCEMENT IS MADE FOR INFORMATION PURPOSES ONLY AND DOES NOT
CONSTITUTE AN OFFER TO SELL OR ISSUE OR SOLICITATION TO BUY, SUBSCRIBE FOR OR
OTHERWISE ACQUIRE SHARES IN CVS GROUP PLC IN ANY JURISDICTION IN WHICH ANY
SUCH OFFER OR SOLICITATION WOULD BE UNLAWFUL.

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION.

 

 

CVS GROUP plc

("CVS" or the "Company" and, together with its subsidiaries, the "Group")

 

Intention to move from AIM to Main Market and Share Buyback Programme

 

Intention to move to Main Market

CVS, the UK listed veterinary group and a leading provider of veterinary
services, is pleased to announce its intention to seek admission of the
Company's entire issued ordinary share capital to the equity shares
(commercial company) category ("ESCC") of the Official List and to trading on
the main market for listed securities (the "Main Market") of the London Stock
Exchange plc ("Admission").

 

Since listing on AIM in October 2007, CVS has delivered strong revenue and
profit growth, significant shareholder returns and built a broad and
supportive shareholder base. The Board acknowledges that AIM has been a
valuable platform for the Group over many years and has been an important
stepping stone to establish CVS as a leading veterinary services company in
the UK with a fast-growing presence in Australia.

 

Following thorough consideration of the merits of transitioning to the Main
Market, as well as the clarity afforded by the CMA's provisional decision
report published on 15 October 2025 and the positive momentum in like-for-like
sales performance from Q4 FY2025 which has continued into Q1 FY2026, the Board
has determined that such a move will provide access to deeper pools of capital
across a broader range of investors, offer the potential for index inclusion,
improve trading liquidity, and enhance the Group's corporate profile.

 

The Company expects Admission in early Q1 of calendar year 2026, subject to
FCA approval of a prospectus and the ordinary shares being admitted by the FCA
to the Official List and by the London Stock Exchange plc to trading on the
Main Market. The Group does not intend to raise funds in connection with
Admission or the publication of the prospectus, and Admission is not expected
to be conditional on shareholder approval.

 

Shareholders should note that the Company's shares will no longer be traded on
AIM with effect from Admission and should take their own financial and
taxation advice regarding the consequences of Admission.

 

Berenberg is acting as Sponsor exclusively to the Company and no one else in
connection with the proposed Admission.

 

CVS will issue further updates as appropriate.

 

 

Launch of Share Buyback Programme Today

CVS also announces that the Board has approved a share buyback programme to
return up to £20 million to shareholders (the "Share Buyback Programme"),
further details of which are set out in a separate announcement.

 

Taking into account the Group's attractive pipeline of acquisitions in
Australia and capital investment commitments which the Group expects to
continue into FY26, as well as the opportunity for further acquisitions in the
UK in due course, the Group continues to have significant headroom under its
committed facilities and leverage at 1.18x* as at 30 June 2025, well below its
stated target of <2.0x.

 

The Board therefore believes the Share Buyback Programme is appropriate and is
consistent with its stated capital allocation policy. All ordinary shares
repurchased by the Group under the Share Buyback Programme will be cancelled.

 

The Share Buyback Programme is expected to be completed in Q1 of calendar year
2026.

 

David Wilton, Chair, commented:

 

"The Board has reached the decision to move up to the Main Market after
carefully considering the merits and potential demerits of such move and
evaluating the process involved. We believe it is, as a listed company, in
CVS's best interest to do so as it will provide access to deeper pools of
capital across a broader range of investors, offer the potential for index
inclusion, improve trading liquidity, and enhance the Group's corporate
profile.

 

We are grateful to our shareholders for their long-term support particularly
through the period of uncertainty in the past two years since the CMA launched
their market review in September 2023. We look forward to working with all our
stakeholders in our next phase of growth."

 

Contacts

CVS Group plc
 
                                     via Camarco

Richard Fairman, CEO

Robin Alfonso, CFO

Paul Higgs, Chief Veterinary Officer

Charlotte Page, Head of Investor Relations

 

Berenberg (Sponsor & Joint Broker)
 
               +44 (0)20 3207 7800

Toby Flaux / Michael Burke / Milo Bonser / Brooke Harris-Lowing

 

Peel Hunt LLP (Nominated Adviser & Joint Broker)
 
+44 (0)20 7418 8900

Christopher Golden / James Steel / Andrew Clark

 

Camarco (Financial
PR)
                      cvsg@camarco.co.uk

Ginny Pulbrook
 
                                    +44 (0)7961 315 138

Letaba Rimell

Tilly Butcher

 

About CVS Group plc (www.cvsukltd.co.uk)

 

CVS Group is an AIM-listed provider of veterinary services with operations in
the UK and Australia. CVS is focused on providing high-quality clinical
services to its clients and their animals, with outstanding and dedicated
clinical teams and support colleagues at the core of its strategy.

 

The Group now operates c.470 veterinary practices across its two territories,
including specialist referral hospitals and dedicated out-of-hours sites.
Alongside the core Veterinary Practices division, CVS operates Laboratories
(providing diagnostic services to CVS and third-parties) and an online retail
business ("Animed Direct").

 

The Group employs c.8,900 personnel, including c.2,400 veterinary surgeons and
c.3,300 nurses.

 

Important notices

This announcement contains statements that are, or may be deemed to be,
"forward- looking statements". These forward-looking statements can be
identified by the use of forward‑looking terminology, including the terms
"believes", "estimates", "anticipates", "expects", "intends", "plans", "goal",
"target", "aim", "may", "will", "would", "could" or "should" or, in each case,
their negative or other variations or comparable terminology. All statements
other than statements of historical facts included in this announcement,
including those regarding the Company's strategy, plans and objectives and the
anticipated Admission are forward-looking statements. Readers are cautioned
not to place undue reliance on such statements. Forward-looking statements
involve a number of known and unknown risks, uncertainties and other factors,
many of which are difficult to predict and generally beyond the control of
CVS. These forward-looking statements speak only as of the date of this
announcement. CVS expressly disclaims any obligation or undertaking to update
or revise any forward-looking statement (except to the extent legally
required).

 

Joh. Berenberg, Gossler & Co. KG, London Branch ("Berenberg"), which is
authorised and regulated by the German Federal Financial Supervisory Authority
and in the United Kingdom is subject to limited regulation by the FCA, is
acting exclusively for the Company as Sponsor and no one else in connection
with Admission and it will not regard any other person as a client in relation
to Admission and will not be responsible to anyone other than the Company
for providing the protections afforded to its clients or for providing advice
in relation to Admission or any other transaction, matter, or arrangement
referred to in this announcement.

 

Peel Hunt LLP ("Peel Hunt") is authorised and regulated in the United Kingdom
by the Financial Conduct Authority. Peel Hunt is acting for the Company only
in connection with Admission and no one else, and will not be responsible to
anyone other than the Company for providing the protections offered to clients
nor for providing advice in relation to Admission, the contents of this
announcement or any transaction, arrangement or other matter referred to in
this announcement.

 

The person responsible for the release of this announcement on behalf of CVS
is Scott Morrison.

 

 

* Leverage on a bank test basis is net bank borrowings divided by 'Adjusted
EBITDA', annualised for the effect of acquisitions, deducting cost in relation
to acquisition fees and adding back share option costs, on an accounting basis
prior to the adoption of IFRS 16.

 

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCPKQBPPBDKQKB



            Copyright 2019 Regulatory News Service, all rights reserved