REG - Studio Retail Gp PLC - Sale of Studio Retail Limited

Moncler SpAAnnouncement

25/02/2022 08:15

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RNS Number : 7870C  Studio Retail Group PLC  25 February 2022

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION

25 February 2022

Studio Retail Group plc (in administration)

(the "Company")

ANNOUNCEMENT OF SALE OF STUDIO RETAIL LIMITED AND CERTAIN OTHER ASSETS

Reference is made to the Company's announcement on 24 February 2022, in which
it was announced that:

·    Daniel Francis Butters and Daniel James Mark Smith of Teneo
Financial Advisory Limited had been appointed joint administrators (the
"Administrators") of the Company; and

·    the Administrators were in advanced discussions in relation to an
accelerated M&A process for the business and assets of the Company,
including in relation to its main operating subsidiary, Studio Retail Limited
("SRL"); and

·   the Administrators had applied for the cancellation of the listing of
the Company's shares on the premium segment of the Official List and
cancellation of the trading of the Company's shares on the main market for
listed securities maintained by the London Stock Exchange, which were both
expected to take place at 8:00 a.m. on 25 February 2022.

Further to such announcement, the Company (acting by the Administrators) has
sold its shareholding in SRL, and certain other assets, to Frasers Group plc
("FG") (the "Transaction").

The consideration for the Transaction comprised the release of the Company
from its liabilities to its secured creditors under its revolving credit
facilities and ancillary facilities. The Transaction resulted in a cash
payment by FG to the Company's secured lenders in the amount of approximately
£26.8 million.

In addition, the Company will be released from all liabilities under Section
75 and 75A of the Pensions Act 1995 in respect of three of the four sections
of the group's pension fund (the "Pension Fund").  To the extent any further
payments are due from the Company in respect of these sections, these will be
guaranteed by FG, subject to a cap. Following the Transaction, an additional
contribution (guaranteed by FG) will be made to the Pension Fund by SRL. The
Trustees of the Pension Fund are supportive of these arrangements.

The Administrators are of the opinion that the Transaction was in the best
interests of the Company's creditors as a whole. In addition, while SRL itself
was not in administration, it had temporarily ceased taking orders and the
Transaction will allow trading operations to resume, ensuring continuity for
suppliers, the group's over 1500 employees, pension holders and customers.

Cancellation of the listing of the Company's shares on the premium segment of
the Official List and cancellation of the trading of the Company's shares on
the main market for listed securities maintained by the London Stock Exchange
are both expected to take place at 8:00 a.m. today.

Enquiries:

Ben Foster

Teneo

Senior Managing Director

+44 7776 240806

Publication on Website

A copy of this announcement will be made available on the Company's website
https://www.studioretail.group/. For the avoidance of doubt, the contents of
this website are not incorporated and do not form part of this announcement.

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