Travis Perkins Submits Circular For Proposed Demerger Of Wickes To FCA
Retailer Travis Perkins plc (TPK.L), which is preparing for the demerger of home improvement retailer Wickes Group plc, Wednesday said it has submitted the circular for the proposed demerger to the Financial Conduct Authority or FCA for approval. The company also has submitted the prospectus in relation to the proposed admission of the Wickes shares.
Travis Perkins in December 2018 announced its plans to simplify the structure, and in July 2019 announced intention to demerge Wickes.
However, in March last year, the company had to place the process on hold in order to focus on managing through the COVID-19 pandemic and to maximise liquidity. And, in early March this year, the company announced its decision to recommence the Wickes demerger process.
In a statement, the company now said it is intended that the Wickes shares will be admitted to the Premium listing segment of the Official List of the FCA and admitted to trading on the Main Market of the London Stock Exchange.
The demerger will enable Travis Perkins and Wickes to pursue their own independent strategies, each focusing on executing a distinct business plan.
Travis Perkins will make a further announcement after the Circular and the Prospectus have been approved for publication by the FCA, which is expected later today.
Nick Roberts, Chief Executive Officer of Travis Perkins, said, “The demerger is an important step towards simplifying the Group and enabling Travis Perkins to focus on its trade customers. The separation will allow both businesses to allocate capital to drive growth and further enhance their market leading positions.”
Further, David Wood, Chief Executive Officer of Wickes, stated that the current year has started well and they are confident in continuing to deliver sales growth ahead of the market for the full year.
Source: Read Full Article