Share buyback programme

Inchcape PLC

01 August 2024

 

                                                                                                                        1 August 2024

Share buyback programme

Inchcape plc, the leading global automotive distributor, announces it has entered into an agreement with Jefferies International Limited ("Jefferies") to undertake a share buyback programme for the purchase up to £150 million of the Company's shares ("Share Buyback Programme"), which was previously announced on 30 July 2024, as part of the Company's H1 2024 results.

The share buyback programme is part of the Group's capital allocation policy, which is focused on organic investment, dividend payments at 40% of adjusted EPS, value-accretive acquisitions and share buybacks. This policy is conducted within the Group's self-mandated leverage limit of 1x net debt: EBITDA. The rationale for the share buyback programme is based on Inchcape's excellent underlying free cash flow performance in H1 2024, and the Group's strong balance sheet.

The maximum number of shares that may be repurchased under the Share Buyback Programme is up to 41,300,713 shares, being the number of shares the Company is currently authorised to purchase pursuant to the authority granted by shareholders at the Company's Annual General Meeting held on 9 May 2024 ("AGM").

Share purchases will take place in open market transactions and may be made from time to time depending on market conditions, share price, trading volume and other factors. The Company has appointed Jefferies to manage the Share Buyback Programme, which is a non‐discretionary share buyback programme to repurchase the Company's shares within certain defined parameters. The Share Buyback Programme and it will be conducted independently and at the sole discretion of Jefferies within the programme terms.

The Share Buyback Programme will run from the date of this announcement until no later than 31 March 2025. Purchases may continue during any closed period to which the Company is subject during the above-mentioned period. The purpose of the Programme is to reduce the capital of the Company. As such, the Company will cancel any ordinary shares purchased.

The Share Buyback Programme will be affected within the parameters of Article 5(1) of the Market Abuse Regulation (EU) No 596/2014 (which is part of UK law by virtue of the European Union (Withdrawal) Act 2018 (the "2018 Act")) ("MAR") and the Commission Delegated Regulation (EU) No 2016/1052 (which is part of UK law by virtue of the 2018 Act) as well as the applicable provisions of the UK Listing Rules published by the Financial Conduct Authority.

Contacts

Inchcape plc (investor enquiries):
Rob Gurner		[phone]	[e-mail]
Krishma Arora
DGA Group (media enquiries):
James Melville Ross		[phone]	[e-mail]
James Styles

About Inchcape

Inchcape is the leading global automotive distributor, with operations across six continents. Inchcape works with our mobility company partners in smaller, more complex and harder-to-reach markets, which tend to be higher growth with low motorisation rates. By combining our in-market expertise with our unique technology and advanced data analytics, we create innovative customer experiences that deliver outstanding performance for our partners - building stronger automotive brands and creating sustainable growth.

Our distribution platform connects the products of mobility company partners with customers, and our responsibilities span product planning and pricing, import and logistics, brand and marketing to operating digital sales, managing physical sales and aftermarket service channels. Delivering for our partners, our customers and our people - so they can realise their ambitions in the new world of mobility. The Group is headquartered in London and employs over 18,000 people globally.

www.inchcape.com

 

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