- C&C Group Seeks London Stock Exchange Listing
An international drinks manufacturing company, C&C Group, on Thursday reiterated its target to deliver double-digit earnings per share growth in 2020 as it announced plans to seek inclusion in the FTSE UK Index Series.
C&C Group said it was looking to list on London’s FTSE share index as recent merger and acquisition activity shifted its focus away from its Ireland home.
According to justdrinks, the Magners cider and Tennent’s lager owner bought the UK-based distributors Matthew Clark and Bibendum from Conviviality Group in April last year.
C&C said it was seeking inclusion on the FTSE UK Index Series and intended to cancel its listing on Dublin’s Euronext bourse as a majority of its revenues, earnings and activities were now derived in and from the United Kingdom.
Despite the FTSE approach, the company will continue to be registered in Ireland and highlighted that it retains a “significant manufacturing, commercial and brand presence in Ireland”.
The company said it had made a “solid” start to FY20, with trading to date in line with current market expectations.
The Chief Executive Officer, C&C Group, Stephen Glancey, said 2019 was a “transformational” year for the group.
Glancey said, “The acquisition and subsequent performance of Matthew Clark and Bibendum contributed to earnings growth of over 20 per cent. Reflecting the inherent strength of the C&C business today, our objective is to again deliver double digit EPS growth in FY20. Thereafter, we will target EPS growth in a mid to high single digit range.”
Broker Shore Capital said the outcome and timing of the company’s de-listing in Ireland and listing in the UK was dependent on shareholder discussions and Brexit consequences.
They said they see C&C emerging from a period of transition as a stronger and more competitive business (across MCB/distribution and the core branded businesses), which they do not believe to be encapsulated in the current valuation.