23 January 2025
ANNINGTON FUNDING
PLC
Publication of Annington
Limited Half-Year Financial Statements and Update on Use of
Transaction Proceeds
Annington Funding plc announces the
Financial Statements of Annington Limited for the six months ended
30 September 2024 have been added to the Group's website and are
available for viewing.
To view the full results please past
the following URL into the address bar of your browser:
https://www.annington.co.uk/investors/results-and-reports/
Update on use of transaction proceeds
On 17 December, in our RNS "Sale of
the MQE Units to MOD - Further Details on Use of Proceeds", the
Group announced its intention to rationalise its debt capital
structure. We announced the results of the successful tender
exercise on 8 January which, along with the further bond
redemptions and the repayment of the term loan previously
announced, reduces Group debt by approximately £3 billion.
Following these repayments, approximately £742 million of debt
remains outstanding, with a weighted average cost of
3.1%.
In a continuation of the
rationalisation of the Group's capital structure, the Group
announces that a dividend of £1.9 billion has been declared. After
payment of the dividend, the Group retains cash of approximately
£1.4 billion and is well placed to take advantage of opportunities
in the UK residential real estate market, in accordance with the
Group's long-term business plan, and to make payments of principal
and interest on its outstanding bonds as and when due.
Ian Rylatt, CEO of Annington said:
"With over 20 years' experience of refurbishing, developing and
managing residential real estate at scale, Annington has a great
legacy and track record as a major investor in UK real estate,
generating long-term, attractive returns for shareholders, whilst
playing our part in addressing the UK's housing crisis. With
substantial cash reserves available for investment, alongside the
£400 million of existing assets, we have a strong foundation to
expand our portfolio of stable, high-quality residential real
estate assets with an attractive levered yield, supported by
low-cost, long-term debt. We believe that against the current
dynamics of both the investment market and the housing market, we
are positioned perfectly to evaluate and act on attractive
opportunities."
Media Enquiries:
Annington@brunswickgroup.com
Annington Funding plc
Hays Lane House
1 Hays Lane
London
SE1 2HB
This announcement is released by
Annington Funding plc and contains information that qualified or
may have qualified as inside information for the purposes of
Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms
part of domestic law of the United Kingdom by virtue of the EUWA
("MAR"). For the purposes of MAR this announcement is made by
Stephen Leung, Director, on behalf of Annington Funding
plc.
LEI: 549300KK63W8VZIONZ83
