REG - Marks Electrical Grp - Lease Extension

Marks ElectricalAnnouncement

18/04/2024 12:15

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240418:nRSR2015La&default-theme=true

RNS Number : 2015L  Marks Electrical Group plc  18 April 2024

Marks Electrical Group plc

Lease Extension

Marks Electrical Group plc ("Marks Electrical" or "The Group"), a fast growing
online electrical retailer, today announces that it has entered into a new
three year lease extension (the "Lease") at the Company's headquarters and
main site of operations at 4 Boston Road, Leicester (the "Property").

The Lease is between Mavrek Properties Limited & The Smithson Pension Fund
(together, "the Landlords") and the Company and has a new three year term
commencing 30 September 2024 with a below inflation increase to £640,000 per
annum to be satisfied in cash. The Lease replaces the existing lease in place
with the Landlords for the Property which expires on 29 September 2024, as
disclosed in the Company's Admission Document.

Related Party Opinion

 

The Landlords are Related Parties by virtue of the fact that Mark Smithson,
the Company's CEO and 73.6% shareholder, is the ultimate beneficiary of The
Smithson Pension Fund and the controlling shareholder in Mavrek Properties
Limited.  Therefore, the Lease is considered a related party transaction
pursuant to the AIM Rules for Companies. The directors, excluding Mark
Smithson, having consulted with Canaccord Genuity Limited, the Company's
Nominated Adviser, consider the terms of the Lease to be fair and reasonable
insofar as the Company's shareholders are concerned.

 

Enquiries:

Marks Electrical Group
plc
Via Dentons Global Advisors:

Mark Smithson, CEO
 
                               Tel: +44 (0)20 7664 5095

Josh Egan,
CFO

 

Dentons Global Advisors (Financial PR)

Jonathan Brill / James Styles / Nishad Sanzagiri
 
         Tel: +44 (0)20 7664 5095

markselectrical@dentonsglobaladvisors.com
(mailto:markselectrical@dentonsglobaladvisors.com)
 

 

Canaccord Genuity (NOMAD and Broker)

Max Hartley / George Grainger (Nomad) / Kit Stephenson (Sales)
                                          Tel: +44 (0)
207 886 2500

 

About Marks Electrical

Marks Electrical is a fast growing, highly scalable premium electrical
retailer which sells, delivers, installs and recycles a wide range of
household electrical products. The Group was founded in Leicester in 1987 by
Mark Smithson and has scaled into a nationwide online retailer with a
compelling growth track record, thanks to its vertically integrated, low-cost,
high-quality operating model, supported by the ongoing structural shift of
consumers to purchase online. The Group operates within the UK Major Domestic
Appliances (MDA) and Consumer Electronics (CE) market, estimated to be worth
approximately £7 billion.

Primarily through its simple, clear and intuitive website -
markselectrical.co.uk - the Group offers over 4,500 products from over 50
leading brands across its main product categories, which include Cooking,
Refrigeration, Washers & Dryers, Dishwashers and Audio-Visual. These
products are sourced from UK distributors of the brands, with whom the Group
maintains strong and direct relationships. Marks Electrical delivers direct to
customers in its owned and branded vehicles, operated by the Group's skilled
team of delivery drivers, who are also able to offer installation and
recycling services.

For further information, visit the Marks Electrical corporate website:
https://group.markselectrical.co.uk and its retail website:
https://markselectrical.co.uk/.

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  MSCFVLFFZZLFBBF