REG-Fuller, Smith & Turner PLC Fuller, Smith & Turner PLC: Business Update

Fuller Smith & TurnerAnnouncement

13/03/2025 07:15

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   Fuller, Smith & Turner PLC (FSTA)
   Fuller, Smith & Turner PLC: Business Update

   13-March-2025 / 07:00 GMT/BST

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   13 March 2025

                                        

                         FULLER, SMITH & TURNER P.L.C.

                                Business Update

                                         

     • New £185 million bank facility successfully completed
     • Commencing new buyback of up to one million ‘A’ shares
     • Acquisition of iconic freehold Twickenham pub
     • Full buy-in of Fuller’s pension plan
     • Strong trading momentum continues

    

   Fuller, Smith & Turner P.L.C. (“Fuller’s” or “the Company”), the premium
   pubs and hotels business, today provides the following business update.

    

   We have agreed a new £185 million bank facility with a consortium of
   existing relationship banks. The unsecured facility is available until 31
   August 2028, at an interest margin 75bps lower than existing terms,
   reflecting the strong financial position of the Company. This facility
   provides us with significant headroom to pursue further growth through
   appropriate acquisitions and to enhance returns for shareholders.

    

   As part of our capital allocation framework, we constantly assess the
   optimum use of capital to enhance returns for shareholders. In January, we
   completed the share buyback programme, which resulted in the repurchase of
   6.5 million ‘A’ shares. These shares were repurchased at an average price
   of £6.13, which represents a 26% discount to the £8.30 price of the 6.5
   million ‘A’ share equity placing in 2021.

    

   We believe that the current share price of the Company significantly
   undervalues the business and does not reflect the intrinsic net asset
   value of our high quality, primarily freehold estate. As such, we are
   initiating a new share buyback programme, and today announce the intention
   of acquiring up to one million ‘A’ shares.

    

   With regard to growth through acquisition, we are delighted that we have
   exchanged contracts to acquire the freehold of The White Swan in
   Twickenham, with completion due on 19 March 2025. This iconic pub is a
   fantastic addition to the Fuller’s Managed Pubs and Hotels business and
   brings a brilliant riverside location to further complement our presence
   in South West London.

    

   To further demonstrate the financial strength of the business and reduce
   the exposure to future liabilities, the Company has completed a full
   buy-in of the Fuller’s pension plan with Legal & General. With the
   improvement in the funding position, both the Trustees of the Fuller’s
   Defined Benefit Pension Plan and the Company were keen to move swiftly
   into a full buy-in with a well-regarded insurer who could provide an
   enhanced level of security and member service. 

    

   As we approach our financial year end, on 29 March 2025, trading momentum
   continues to be strong, and we are confident that market expectations will
   be delivered.

    

   Chief Executive, Simon Emeny, said: “With just two weeks to go, we have
   had a very strong year – and to cap it off with such an excellent new
   acquisition is the icing on the cake. The White Swan is a riverside gem in
   Twickenham, and we look forward to welcoming the team there into the
   Fuller’s family.

    

   “We are confident of meeting market expectations for the full year and are
   taking appropriate actions to manage the impact of forthcoming market
   challenges. We remain confident and optimistic about the future for our
   business and will continue to allocate capital to drive long-term growth
   and returns for shareholders. 

    

   “We will next update the market on 11 June 2025, when we announce the
   Company’s full year results for the 52 weeks to 29 March 2025.”

    

                                      End 

    

    

   For further information, please contact:

    

   Fuller, Smith & Turner P.LC.

   Simon Emeny, Chief Executive    020 8996 2000

   Neil Smith, Finance Director    020 8996 2000

   Georgina Wald, Corporate Comms Manager  020 8996 2198 / 07831 299801

    

   Instinctif Partners

   Justine Warren      020 7457 2020

    

    

   Notes to Editors:

   Fuller, Smith & Turner PLC is a premium pubs and hotels business. With an
   outstanding estate of iconic pubs and hotels across the Southern half of
   England, our purpose is to create experiences that nourish the soul. At
   our heart is the warm and inviting welcome of a fantastic pub or hotel,
   delivered by an exceptional team of over 5,000 talented individuals. We
   have been delighting our customers – with delicious, fresh, seasonal food,
   an exciting drinks range, and beautiful bedrooms – for 180 years. Fuller’s
   has 185 Managed Pubs and Hotels, with 1,025 bedrooms and 153 Tenanted
   Inns, all aiming to ensure that everyone leaves that little bit happier
   than they arrived.

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   ISIN:           GB00B1YPC344
   Category Code:  MSCH
   TIDM:           FSTA
   LEI Code:       213800C7ACOFMRCQQW76
   OAM Categories: 3.1. Additional regulated information required to be
                   disclosed under the laws of a Member State
   Sequence No.:   378831
   EQS News ID:    2099732


    
   End of Announcement EQS News Service

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