FIRSTGROUP PLC
STATEMENT RE:
ROBERT TCHENGUIZ STATEMENT
FirstGroup plc (‘FirstGroup’ or ‘the Group’) notes the statement
issued today by Robert Tchenguiz regarding the Group’s half-yearly
results announcement of 14 November
2019.
The Board has been clear, including in the recent half-yearly
results announcement, that it is intent on realising value for all
shareholders and is focused on actively managing the entire
portfolio by all appropriate means.
The Board believes there is significant value to be unlocked
across the Group’s portfolio of leading public transportation
businesses, and there are limited synergies between the divisions,
particularly between the UK and North
America. Realising greater value from the Group is the clear
priority and this is best achieved through a rationalisation of the
current portfolio. The Group has taken a number of important steps
in relation to this strategy, as outlined in the half-yearly
results announcement.
The Chairman and Chief Executive’s comments at the front of the
half-yearly results announcement clearly reflect this position and
are consistent.
David Martin, giving his view on
the Group in his first Chairman’s statement since being
appointed on 15 August, noted that “We will continue to
actively evaluate all options across our entire portfolio to ensure
we remain focused on the most appropriate and deliverable means to
realise shareholder value.”
Matthew Gregory, Chief Executive,
stated that “We are intent on realising value for shareholders and
will actively manage our entire portfolio by all appropriate
means.”
We note Mr Tchenguiz’s comment concerning our North American
assets and in particular the sale of a competitor. First Student
and First Transit are valuable assets and well positioned in
markets with profitable growth. The Board has been consistent and
clear that the objective is to realise value and therefore were a
credible and deliverable offer to be received for these or any
other business in the portfolio then, of course, the Board would
give that serious consideration.
We also note the comment made by Mr Tchenguiz about an
announcement in November 2018
regarding the pension deficit. This is an incorrect assertion and
no such announcement was made.
We also note the comment by Mr Tchenguiz regarding the potential
to requisition a further General Meeting. Whilst this is the
prerogative of shareholders, the Board believes it would be in the
best interests of all stakeholders for us to get on with the
portfolio rationalisation and realise value for shareholders
without further distraction or delay.
Contacts at FirstGroup:
Faisal Tabbah, Head of Investor
Relations
Stuart Butchers, Group Head of Media
Tel: +44 (0) 20 7725 3354
Contacts at Brunswick PR:
Andrew Porter / Simone Selzer, Tel: +44 (0) 20 7404 5959
Notes
Based on the most recent regulatory disclosures made to the company
Robert Tchenguiz has a direct shareholding of 0.02% of the issued
share capital together with additional economic interests from a
spread bet (the terms of which have not been disclosed).
FirstGroup plc (LSE: FGP.L) is a leading provider of transport
services in the UK and North
America. With £7.1 billion in revenue and around 100,000
employees, we transported 2.2 billion passengers last year. Whether
for business, education, health, social or recreation – we get our
customers where they want to be, when they want to be there. We
create solutions that reduce complexity, making travel smoother and
life easier.
We provide easy and convenient mobility, improving quality of
life by connecting people and communities.
Each of our five divisions is a leader in its field: In North
America, First Student is the largest provider of home-to-school
student transportation with a fleet of 43,000 yellow school buses,
First Transit is one of the largest providers of outsourced transit
management and contracting services, while Greyhound is the only
nationwide operator of scheduled intercity coaches. In the UK,
First Bus is one of Britain's
largest bus companies with 1.6 million passengers a day, and First
Rail is one of the country's largest and most experienced rail
operators, carrying 345 million passengers last year.
Visit our website at www.firstgroupplc.com and follow us
@firstgroupplc on Twitter.