18 August 2021
The Board of Anexo (AIM: ANX) notes today's announcement by DBAY Advisors Limited ("DBAY") stating that, in accordance with Rule 2.8 of the City Code on Takeovers and Mergers (the "Code"), it does not intend to make an offer for the Company. Accordingly, DBAY is now subject to the restrictions under Rule 2.8 of the Code. The Board is also pleased to provide a brief trading update following the announcement on 9 June 2021.
As confirmed on 23 June 2021, the Board had granted DBAY due diligence access with a view to making a possible offer for the Company. While the structure of the possible offer was not confirmed, it was also noted that the status of Alan Sellers, Executive Chairman, and Samantha Moss, Managing Director Bond Turner, as joint offerors to DBAY's possible offer was under consideration.
Since that time, discussions with DBAY have not led to an offer which, in the view of the Board, reflected the value of the Company, and which the Board therefore would have felt able to recommend to shareholders.
The Board confirms that the consideration of Alan Sellers and Samantha Moss as joint offerors to DBAY's possible offer has now ceased. Furthermore, the Board also confirms that this due diligence access and all offer discussions have been terminated. The Board can confirm that the Company is no longer in an offer period.
This announcement has been made with the consent of DBAY.
Further to the announcement on 9 June 2021, the Board is pleased to announce that overall trading is slightly ahead of management expectations.
Within the Group's Legal Services division, Bond Turner, monthly cash collections have continued to exceed those seen in the similar period last year. The Group expects this trend to continue as the process of re-opening the courts gathers pace.
The Group continues to recruit high quality legal staff in line with its policy of expanding its headcount to drive increased case settlements and cash collection.
EDGE, the Group's Credit Hire division, has continued to see a rise in average vehicle hire numbers following the lifting of the national lockdown. In a pattern similar to the end of the first lockdown in mid-2020, the number of vehicles on the road has increased sharply, and vehicle numbers have once again reached record levels, with a corresponding increase in further opportunities for the Group. As always, the Group monitors vehicle numbers carefully to maximise cash collections.
Alan Sellers, Executive Chairman, commented: "The Group's activities continue to accelerate as UK lockdown measures ease, especially with the imminent release of pent-up case settlements as the UK Courts system begins to open. Cash collections remain consistently high and, with road users increasing, the number of vehicles on the road is reaching record levels."
"The Group's relationship with DBAY has been amicable throughout our lengthy discussions and DBAY remains a supportive shareholder. Saki Riffner remains a Non-Executive Director of the Group, and along with the rest of the Board I look forward to working with DBAY to continue to deliver value and growth for all our shareholders."
Notice of Interim Results
The Group will announce its Interim Results for the six months ended 30 June 2021 on 13 September 2021.
There will be a conference call for sell-side analysts at 09:30am on the day of results, which will be hosted by Alan Sellers (Executive Chairman) and Mark Bringloe (CFO). Retail investors will also be able to listen to the call but will not be eligible to ask questions.
Please contact Nick Dashwood Brown, Head of Investor Relations, at [email protected] if you would like to receive the dial in details.
An audio webcast of the conference call with analysts will be made available on the Group's investor relations website (www.anexo-group.com) after 12pm on the day of results. A link will be provided in the Interim Results statement.
For further enquiries:
Anexo Group plc
+44 (0) 151 227 3008
Alan Sellers, Executive Chairman
Mark Bringloe, Chief Financial Officer
Nick Dashwood Brown, Head of Investor Relations
Arden Partners plc
(Nominated Adviser and Joint Broker)
John Llewellyn-Lloyd/Richard Johnson/Louisa Waddell (Corporate Finance)
Tim Dainton (Equity Sales)
+44 (0) 20 7614 5900
Ed Walsh/Dominic Morley
+44 (0)20 7 886 2500
Notes to Editors:
Anexo is a specialist integrated credit hire and legal services provider. The Group has created a unique business model by combining a direct capture Credit Hire business with a wholly owned Legal Services firm. The integrated business targets the impecunious not at fault motorist, referring to those who do not have the financial means or access to a replacement vehicle.
Through its dedicated Credit Hire sales team and network of 1,100 plus active introducers around the UK, Anexo provides customers with an end-to-end service including the provision of Credit Hire vehicles, assistance with repair and recovery, and claims management services. The Group's Legal Services division, Bond Turner, provides the legal support to maximise the recovery of costs through settlement or court action as well as the processing of any associated personal injury claim.
The Group was admitted to trading on AIM in June 2018 with the ticker ANX.
For additional information please visit: www.anexo-group.com