Proactiveinvestors United Kingdom Ei Group PLC https://www.proactiveinvestors.co.uk Proactiveinvestors United Kingdom Ei Group PLC RSS feed en Fri, 22 Mar 2019 03:52:41 +0000 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190321160002_14011391/ Thu, 21 Mar 2019 16:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190321160002_14011391/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190321070006_14009940/ Thu, 21 Mar 2019 07:00:06 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190321070006_14009940/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190320070005_14008251/ Wed, 20 Mar 2019 07:00:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190320070005_14008251/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190319070010_14006602/ Tue, 19 Mar 2019 07:00:10 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190319070010_14006602/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190318170004_14006372/ Mon, 18 Mar 2019 17:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190318170004_14006372/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190318080003_14005458/ Mon, 18 Mar 2019 08:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190318080003_14005458/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190318070004_14004973/ Mon, 18 Mar 2019 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190318070004_14004973/ <![CDATA[News - UK’s largest pub group Ei to slash debt pile and launch buyback following £348mln pubs sale ]]> https://www.proactiveinvestors.co.uk/companies/news/216543/uks-largest-pub-group-ei-to-slash-debt-pile-and-launch-buyback-following-348mln-pubs-sale-216543.html The UK’s largest pub company, Ei Group PLC (LON:EIG), is to slash its debt pile and launch a £35mln share buyback after completing the sale of a substantial part of its pub-based portfolio.

US hedge fund giant Davidson Kempner Capital Management is paying £348.0mln for 370 of Ei’s pubs which generated underlying earnings of £26mln last year.

READ: Ei Group’s £348mln a ‘game changer’, says City broker

The FTSE 250 group has now received £336.6mln for 348 properties, with the remaining sales to go through once landlord consent has been received.

Of the money received so far, £150mln will be used to pay off loan and credit facilities, while a further £175.8mln will be used to repay £175.8mln worth of loan notes. The remaining £7mln or so will be held as cash.

City broker Liberum said that would cut the group’s debts to £1.6bn from around £1.9bn and “significantly reduce” its annual interest payments.

Ei estimates that its interest charges will fall to £136-138mln in 2019 and to £120-124mln next year.

In addition to the debt repayments, Ei announced it is returning another £35mln to shareholders, using funds from a buyback programme which will run until September.

‘Significant milestone’

“Today's announcement is a significant milestone for the business and evidence of our ability to unlock value across our estate and realise attractive cash proceeds for shareholders,” said chief executive Simon Townsend.

“This disposal will allow us to focus on driving growth across our core Publican Partnerships, Managed Operations and Managed Investments businesses, while also reducing our debt and delivering further shareholder value.”

He added: “With that in mind, we are pleased to announce a further £35mln share buyback programme, in addition to the £20mln programme we completed in January.”

Shares were up 2% to 205p on Friday morning.

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Fri, 15 Mar 2019 09:10:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/216543/uks-largest-pub-group-ei-to-slash-debt-pile-and-launch-buyback-following-348mln-pubs-sale-216543.html
<![CDATA[RNS press release - Share Buyback Programme ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190315071005_14003303/ Fri, 15 Mar 2019 07:10:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190315071005_14003303/ <![CDATA[RNS press release - Disposal, use of proceeds & updated guidance ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190315070005_14003224/ Fri, 15 Mar 2019 07:00:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190315070005_14003224/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190311170205_13997888/ Mon, 11 Mar 2019 17:02:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190311170205_13997888/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190311170004_13997883/ Mon, 11 Mar 2019 17:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190311170004_13997883/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190311084439_13997027/ Mon, 11 Mar 2019 08:44:39 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190311084439_13997027/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190307160001_13994583/ Thu, 07 Mar 2019 16:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190307160001_13994583/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190227080001_13983259/ Wed, 27 Feb 2019 08:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190227080001_13983259/ <![CDATA[RNS press release - Director Declaration ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190215153627_13971635/ Fri, 15 Feb 2019 15:36:27 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190215153627_13971635/ <![CDATA[RNS press release - Correction - Result of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190207171450_13962412/ Thu, 07 Feb 2019 17:14:50 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190207171450_13962412/ <![CDATA[RNS press release - Result of GM ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190207162350_13962364/ Thu, 07 Feb 2019 16:23:50 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190207162350_13962364/ <![CDATA[RNS press release - Result of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190207160001_13962344/ Thu, 07 Feb 2019 16:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190207160001_13962344/ <![CDATA[News - Ei Group reports pub sales growth as shareholders gather for AGM ]]> https://www.proactiveinvestors.co.uk/companies/news/214165/ei-group-reports-pub-sales-growth-as-shareholders-gather-for-agm-214165.html Ei Group PLC (LON:EIG) has reported growth across its publican and managed pub segments in an update ahead of its annual general meeting (AGM) at 11 am on Thursday.

The FTSE 250 firm, which is the largest owner and operator of pubs in the UK, said in a trading update for the 18 weeks to 2 February that its publican partnerships arm had seen like-for-like (LFL) net income growth of 2% with a “particularly strong” Christmas trading period that was in line with the company’s expectations.

READ: City broker calls Ei Group’s £348mln sale of pub portfolio a ‘game-changer’

While the company said cost pressures were “evident” across the broader market, income growth momentum in the segment had been maintained through “continued investment in our leased and tenanted business combined with our proactive publican support”.

For its managed pub business, Ei reported LFL sales growth of 5.7% which was boosted by the strong Christmas trading.

The group also said it had continued to convert selected pubs from its leased and tenanted business to the managed estate, which rose to 398 pubs from 355 at the end of September, adding that by 30 September 2019 it expected to have 460 managed pubs trading.

The company also said an agreement to dispose of 370 properties in a £348mln deal with Tavern Propco Limited, previously announced in January, would be voted on by shareholders at the AGM.

If approved, the first tranche of sales comprising 348 of the properties was expected to occur in March.

Simon Townsend, chief executive of Ei, said that the year had “started well” with growth across the operating businesses, adding that despite “uncertainty” in the consumer environment the firm was on track to deliver its plans for the year.

“The proposed disposal of a substantial proportion of our commercial property portfolio is in line with our strategy of unlocking the embedded value from every asset within our business and monetising that value creation for the benefit of all stakeholders."

In a note to clients, analysts at broker Liberum said the potential for “a material reduction in debt, alongside the validation of [net asset value], should continue to support a share price re-rating”.

The broker added that the net income growth of 2%, which was up from 1.2% in 2018, demonstrated the “improvement in estate quality which underpins forecasts and future value creation”.

This sentiment was echoed by analysts at Peel Hunt, who upped their target price for the firm to 215p from 205p.

Ei shares were down 2.4% at 203p in late-morning Thursday.

--Adds broker target change and updates share price--

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Thu, 07 Feb 2019 09:14:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/214165/ei-group-reports-pub-sales-growth-as-shareholders-gather-for-agm-214165.html
<![CDATA[RNS press release - AGM Trading Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190207070003_13961015/ Thu, 07 Feb 2019 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190207070003_13961015/ <![CDATA[RNS press release - Total Voting Rights ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190131163000_13954197/ Thu, 31 Jan 2019 16:30:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190131163000_13954197/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190122154505_13943091/ Tue, 22 Jan 2019 15:45:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190122154505_13943091/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190122124232_13942923/ Tue, 22 Jan 2019 12:42:32 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190122124232_13942923/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190122070004_13941964/ Tue, 22 Jan 2019 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190122070004_13941964/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190121070006_13940414/ Mon, 21 Jan 2019 07:00:06 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190121070006_13940414/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190118160002_13940131/ Fri, 18 Jan 2019 16:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190118160002_13940131/ <![CDATA[RNS press release - Circular and Notice of General Meeting ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190118080002_13939348/ Fri, 18 Jan 2019 08:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190118080002_13939348/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190118070003_13938886/ Fri, 18 Jan 2019 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190118070003_13938886/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190117160002_13938657/ Thu, 17 Jan 2019 16:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190117160002_13938657/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190117070003_13937325/ Thu, 17 Jan 2019 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190117070003_13937325/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190116070002_13935862/ Wed, 16 Jan 2019 07:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190116070002_13935862/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190115164501_13935548/ Tue, 15 Jan 2019 16:45:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190115164501_13935548/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190115070004_13934339/ Tue, 15 Jan 2019 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190115070004_13934339/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190114070005_13932723/ Mon, 14 Jan 2019 07:00:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190114070005_13932723/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190111160001_13932471/ Fri, 11 Jan 2019 16:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190111160001_13932471/ <![CDATA[News - City broker calls Ei Group’s £348mln sale of pub portfolio a ‘game-changer’ ]]> https://www.proactiveinvestors.co.uk/companies/news/212397/city-broker-calls-ei-groups-348mln-sale-of-pub-portfolio-a-game-changer-212397.html The UK’s largest pubs operator Ei Group PLC (LON:EIG) has sold off 370 of its properties to US hedge fund giant Davidson Kempner Capital Management as part of a £348mln deal that analysts have called a “game-changer”.

The £348mln figure is in line with net book value (NBV) and equivalent to 13 times earnings.

Ei had previously told investors that it wanted to cash in on its Commercial Properties division by offloading the bulk of the 412 pubs that sit within it.

“We are very pleased to have agreed the sale of the portfolio, which is in line with our strategy of delivering attractive and sustainable returns to shareholders by unlocking the embedded value and optimising the returns from every asset within the business,” said chief executive Simon Townsend.

Clearing debt

Much of the proceeds will be used to pay down debt as part of the FTSE 250 group’s goal to reduce its net debt/ EBITDA to 6.0x.

City broker Liberum thinks the sale will also allow Ei to pay a special dividend or add to the £20mln buyback programme which is currently underway.

“Ei's successful disposal of a large portfolio of commercial properties is a game changer, allowing more rapid deleverage and leaving scope for cash returns to shareholders while underscoring the underlying net asset valuation of the group,” said Liberum analysts in a note.

“This is not a one-off but should now be an ongoing strategy transferring value from debt holders to shareholders.”

Liberum repeated its ‘buy’ recommendation for Ei and upped its price target to 250p (from 215p).

Ei shares were up 1.2% to 200p in mid-morning trading on Friday.

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Fri, 11 Jan 2019 10:02:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/212397/city-broker-calls-ei-groups-348mln-sale-of-pub-portfolio-a-game-changer-212397.html
<![CDATA[RNS press release - Disposal of 370 Commercial Properties ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190111070505_13931289/ Fri, 11 Jan 2019 07:05:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190111070505_13931289/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190111070003_13931203/ Fri, 11 Jan 2019 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190111070003_13931203/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190110070005_13929625/ Thu, 10 Jan 2019 07:00:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190110070005_13929625/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190109070002_13928130/ Wed, 09 Jan 2019 07:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190109070002_13928130/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190108070003_13926607/ Tue, 08 Jan 2019 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190108070003_13926607/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190107070004_13924990/ Mon, 07 Jan 2019 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190107070004_13924990/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190104070003_13923562/ Fri, 04 Jan 2019 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190104070003_13923562/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190103070009_13922020/ Thu, 03 Jan 2019 07:00:09 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20190103070009_13922020/ <![CDATA[RNS press release - Total Voting Rights ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181231131501_13919778/ Mon, 31 Dec 2018 13:15:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181231131501_13919778/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181221070002_13912364/ Fri, 21 Dec 2018 07:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181221070002_13912364/ <![CDATA[RNS press release - Annual Financial Report ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181220080002_13911074/ Thu, 20 Dec 2018 08:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181220080002_13911074/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181220070003_13910560/ Thu, 20 Dec 2018 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181220070003_13910560/ <![CDATA[RNS press release - Transaction in Own Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181219070002_13908811/ Wed, 19 Dec 2018 07:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/17475/LSE20181219070002_13908811/