REG - On the Beach Group - LAUNCH OF SHARE BUYBACK PROGRAMME

On Beach groupAnnouncement

03/12/2024 07:15

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RNS Number : 5077O  On the Beach Group PLC  03 December 2024

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE
OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE
A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION (EU) 596/2014 AS IT FORMS PART OF UK DOMESTIC LAW BY VIRTUE OF THE
EUROPEAN UNION (WITHDRAWAL) ACT 2018.

FOR IMMEDIATE RELEASE

3 December 2024

 

On the Beach Group plc

("On the Beach" or the "Company")

 

LAUNCH OF SHARE BUYBACK PROGRAMME

On the Beach Group plc (LSE: OTB.L) announces that it intends to commence a
share buyback programme in respect of its ordinary shares of 1p each
("Ordinary Shares") for up to a maximum aggregate consideration of £25
million (excluding any associated costs and stamp duty) from the date of this
announcement (the "Share Buyback Programme"). The purchased Ordinary Shares
will be cancelled.

As referenced in the Company's final results for the year ended 30 September
2024, announced today, the Company is debt free and has a strong cash position
of approximately £96 million. The Share Buyback Programme complements the
final dividend declared of 2.1p in those final results and is therefore
consistent with the Company's capital allocation policy and reflects the
Company's directors' continued confidence in its future prospects.

On the Beach remains committed to its capital allocation policy which is
focused on investment into the business to deliver organic growth, maintaining
a sustainable and progressive dividend policy, investing in additional growth
opportunities and returning surplus cash to shareholders.

 

Details of the Share Buyback Programme

On the Beach has given irrevocable and non-discretionary instruction to Peel
Hunt LLP and Numis Securities Limited trading as Deutsche Numis (together, the
"Brokers") in relation to the Share Buyback Programme, which will commence
today and will end no later than 31 March 2025 or, if earlier, the conclusion
of the Company's AGM held in 2025 or, subject to the renewal of the requisite
authority at that AGM, 30 November 2025. The Brokers will act as "riskless" or
"matched" principals for the purposes of the Share Buyback Programme, within
certain parameters, and will make their trading decisions concerning the
purchases of Ordinary Shares independently of the Company.

The purpose of the Share Buyback Programme is to reduce the share capital of
the Company.

Any purchase of Ordinary Shares under the Share Buyback Programme will be
carried out on the London Stock Exchange and/or other trading venues and in
accordance with the general authority to purchase Ordinary Shares granted to
the directors of the Company (the "Directors") by its shareholders at the
Company's annual general meeting in 2024 (the "2024 Authority", or as
subsequently granted to the Directors at its annual general meeting in 2025).
The maximum number of Ordinary Shares which the Company is authorised to
purchase under the 2024 Authority is 16,665,624 Ordinary Shares. The Share
Buyback Programme will be conducted in accordance with Article 5(1) of
Regulation (EU) 596/2014, as it forms part of UK domestic law by virtue of the
European Union (Withdrawal) Act 2018 (as amended), the provisions of
Commission Delegated Regulation (EU) 2016/1052, as it forms part of UK
domestic law by virtue of the European Union (Withdrawal) Act 2018 (as
amended), which deal with buyback programmes and Chapter 9 of the Financial
Conduct Authority's UK Listing Rules.

On the Beach will announce any purchase of Ordinary Shares under the Share
Buyback Programme no later than 7.30 a.m. on the business day following the
calendar day on which the purchase occurred.

The person responsible for making this announcement on behalf of the Company
is Kirsteen Vickerstaff, General Counsel and Company Secretary.

 

For further information:

 

 On the Beach Group plc                    via FTI Consulting

 Shaun Morton, Chief Executive Officer

 Jon Wormald, Chief Financial Officer

 FTI Consulting                            Tel: +44 (0)20 3727 1000
 Alex Beagley                              onthebeach@fticonsulting.com

 Harriet Jackson

 

About On the Beach

On the Beach Group plc is one of the UK's largest online beach holidays
retailers, with significant opportunities for growth. Its innovative
technology, low-cost base and strong customer-value proposition provides a
structural challenge to legacy tour operators and online travel agents, as it
continues disrupting the online retail of beach holidays. Its model is
customer-centric, asset light, profitable and cash generative.

www.onthebeachgroupplc.com (http://www.onthebeachgroupplc.com/)

 

 

 

 

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