REG - Global Auto Holdings Lookers PLC - Update to stated post-offer intention statements

LookersAnnouncement

22/12/2023 14:30

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RNS Number : 8253X  Global Auto Holdings Limited  22 December 2023

THE FOLLOWING ANNOUNCEMENT IS BEING MADE PURSUANT TO THE REQUIREMENTS OF RULE
19.6(B) OF THE CITY CODE ON TAKEOVERS AND MERGERS (THE "CODE")

FOR IMMEDIATE RELEASE

22 December 2023

 

GLOBAL AUTO HOLDINGS LIMITED

Update to stated post-offer intention statements with regard to Lookers plc

Global Auto Holdings Limited ("GAHL") announces, further to the completion of
its recommended cash acquisition of the entire issued and to be issued share
capital of Lookers plc ("Lookers"), which was effected by way of  a scheme of
arrangement under Part 26 of the Companies Act 2006 on 6 October 2023 (the
"Acquisition"), an update to its statements of intent made pursuant to Rule
2.7(c)(viii) and 24.2(a)(ii) to (iii) of the Code, which were set out in its
announcement of 20 June 2023 (the "2.7 Announcement") and the scheme document
published in connection with the Acquisition on 14 August 2023 (the "Scheme
Document" and, together with the 2.7 Announcement, the "Offer Documentation").

Unless otherwise defined, capitalised terms in this announcement have the
meanings given in the Scheme Document.

The Offer Documentation stated that, following completion of the Acquisition,
GAHL intended to work with Lookers' senior management team to undertake a
strategic review of Lookers and its operations in order to determine how its
short and long-term objectives can best be delivered (the "Strategic
Review").  The Offer Documentation stated that the Strategic Review would be
completed within a period of approximately 12 months of the Effective Date.
The Offer Documentation also stated that, following completion of the
Acquisition, there may be some restructuring required and, in particular, once
Lookers ceased to be a listed company, certain corporate and support functions
relating to Lookers' status as a listed company were likely to see reduced
headcount.

As a result of the ongoing Strategic Review, GAHL and Lookers have to date
identified areas that require restructuring and which will require a
redundancy programme to be undertaken.  While the consultation process in
relation to the proposed redundancy programme remains ongoing, GAHL believes
that the total reduction in headcount may be up to 945 Lookers employees,
representing 14.5% of Lookers' total workforce.  Mark Raban and Oliver Laird,
the Chief Executive Officer and Chief Financial Officer of Lookers,
respectively, have also decided to step down from their roles at Lookers.
Their decision was voluntary at their election and not at the request of
GAHL.

Enquiries:

 Global Auto Holdings Limited

 Roy Cui, Director                                            +1 (905) 619 4996
 Jefferies International Limited (Financial adviser to GAHL)  +44 (0) 20 7029 8000

 Philip Noblet

 Thomas Bective

 Jordan Cameron
 Hudson Sandler LLP (PR adviser to Bidco)                     +44 (0) 20 7796 4133

 Alex Brennan                                                 GAHL@hudsonsandler.com

 Mark Garraway

 

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