REG - Pennon Group PLC - Share Repurchase Programme

PennonAnnouncement

01/12/2021 07:00

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RNS Number : 1147U  Pennon Group PLC  01 December 2021

1 December 2021

For immediate release

Pennon Group plc

Share Repurchase Programme

As detailed in Pennon's Trading Statement on 28 September 2021, and in line
with the package of shareholder returns announced by Pennon in June 2021, and
approved by shareholders at the 2021 Annual General Meeting, authority was
granted for the proposed on-market share buy-back programme (the "Programme")
in respect of its ordinary shares of 61.05 pence each, of up to c.£400
million.

The purpose of the Programme is to reduce share capital, and completion of the
Programme is subject to Pennon's continued review of value creating
opportunities in the UK water sector, where the maximum number of shares that
can be repurchased in connection with the Programme is 42,183,689 (being the
maximum authority granted by shareholders at Pennon's AGM on 22 July 2021).

The first and second phases of the Programme deployed c.£110 million in total
over the period from 23 July to 26 November 2021. Following on from this,
Pennon is announcing today that it is initiating the third phase of the
Programme and has entered into a nondiscretionary agreement with Morgan
Stanley & Co. International plc ("Morgan Stanley") to enable Morgan
Stanley, acting as principal, to purchase ordinary shares of 61.05 pence each
in the share capital of Pennon for an aggregate purchase price of no greater
than £40 million and the simultaneous on-sale of such shares by Morgan
Stanley to Pennon. This agreement commences on 1 December 2021 and share
purchase activity pursuant to the agreement is expected to end no later than
14 January 2022. Morgan Stanley will make trading decisions in relation to
Pennon shares purchased under the Programme independently of, and uninfluenced
by, Pennon. All shares repurchased will be cancelled.

Further phases are expected to commence over the period to 30 September 2022.

Any purchase of Pennon shares done in relation to this announcement will be
carried out on the London Stock Exchange and Multilateral Trading Facilities,
as defined by the Directive 2014/65/EU on markets in financial instruments
(including the delegated and implementing acts adopted under it) as
implemented, retained, amended, extended, re-enacted or otherwise given effect
in the United Kingdom from 1 January 2021 and as amended or supplemented in
the United Kingdom thereafter, and executed within the price and volume
conditions set out in the Listing Rules, the provisions of Article 5(1) of
Regulation (EU) No. 596/2014 (as incorporated into UK domestic law by the
European Union (Withdrawal) Act 2018), the Commission Delegated Regulation
(EU) 2016/1052 (as incorporated into UK domestic law by the European Union
(Withdrawal) Act 2018) dealing with buyback programmes and the Company's
general authority to make market purchases of Pennon shares granted at its AGM
on 22 July 2021.

The Company will announce any market repurchase of shares no later than 7.30
a.m. on the business day following the calendar day on which the repurchase
occurred.

This announcement does not constitute, or form part of, an offer or any
solicitation of an offer for securities in any jurisdiction.

 

 

For further information, please contact:

 Pennon Group plc                                         +44 (0) 1392 443 168
 Paul Boote             Group Finance Director
 Jennifer Cooke         Group Investor Relations Manager

 Media Enquiries - Finsbury Glover Hering                 +44 (0) 20 7251 3801
 James Murgatroyd
 Harry Worthington

 

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