Anexo Group PLC FY 2020 Trading Update (6747M)

TIDMANX

RNS Number : 6747M

Anexo Group PLC

25 January 2021

 
 For immediate release   25 January 2021 
 

Anexo Group plc

('Anexo', the 'Group' or the 'Company')

FY 2020 Trading Update

Notice of Results

Appointment of Director

Anexo (AIM: ANX), the specialist integrated credit hire and legal services provider, today provides the following Trading Update in respect of the year ended 31 December 2020 ('FY 2020').

In FY 2020 the Group remained fully operational throughout both nationwide lockdowns and, despite the COVID-19 pandemic, revenue growth has exceeded the Board's expectations. The Group has maintained its strategy of recruiting high-quality staff within its legal division, Bond Turner, and consequently salary and other associated costs have increased during the year. Nevertheless, the Board is pleased to announce that adjusted* profit before tax will be in line with current market expectations.

The number of vehicles on the road in the Group's credit hire division, EDGE, recovered strongly following the lifting of the first lockdown in July and reached record numbers in the second half of 2020 ('H2 2020'). Following the implementation of the second lockdown in early November the number of vehicles on the road once again saw an initial decline, although the monthly totals remain well ahead of those seen in the first half of the year ('H1 2020'). The Board confirms that the average number of vehicles on the road for FY 2020 will exceed that of FY 2019.

The Group has continued to increase the number of litigators within Bond Turner, thereby driving increased case settlements and cash collection relative to investment in new cases. The courts have remained open throughout the second lockdown period, as they were in the first, with settlements continuing where possible via telephone and online hearings. Notwithstanding some inevitable delays in court proceedings as a result of remote operation, the Board is pleased to announce that monthly cash collections rose significantly in Q4 2020 and reached a record high in December. The Leeds office of Bond Turner is now fully operational and staff recruitment continues.

The Group continues to increase the number of cases involved in the legal action against Volkswagen AG (the 'VW Emissions' case). The Group is currently actively engaged on approximately 14,356 claims. As previously announced, all costs associated with marketing and the processing of claims are expensed as incurred; investment in case acquisition in FY 2020 totalled GBP2.9 million.

Notice of Final Results

The Group will be announcing its Final Results for the year ended 31 December 2020 on Tuesday, 27 April 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). Please contact Nick Dashwood Brown, Head of Investor

Relations, at   [e-mail] if you would like to receive the dial in details. 

For retail investors, 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 Final Results statement.

Director Appointment

The Company is pleased to announce, with immediate effect, the appointment of Saki Riffner, partner and co-founder of DBAY Advisors Limited ('DBAY'), to the Board as a Non-Executive Director.

Funds under the discretionary management of DBAY ('DBAY Funds') currently hold 9.9% of the issued share capital of the Group. Application has been made for the appropriate regulatory approvals from the Financial Conduct Authority and the Solicitors' Regulatory Authority to allow DBAY Funds to acquire an additional 19.1% shareholding in the Group. The Group will provide a further update in due course.

The following additional information is provided in accordance with paragraph (g) of Schedule Two to the AIM Rules for Companies:

Full Name: Saki Riffner

Age: 44

 
 Current directorships / partnerships 
 
 Agility Interactive (IOM) 
  Limited 
 Barwood Limited 
 DBAY Advisors Limited 
 Greenwhitestar Acquisitions 
  Limited 
 Eddie Stobart Logistics plc 
 Financiere CM SA 
 Fenix Healthcare AB 
 Marcelos Limited 
 Redwhiteblue Champion Ltd 
 Unlimited Marketing Finco 
  Ltd 
 
 
 Directorships / partnerships within 
  the last five years 
 
 DouglasBay Media Holdings Limited 
 Eddie Stobart Logistics Limited 
 ESLL Group Limited 
 Greenwhitestar Holding Company 1 
  Ltd 
 Greenwhitestar Holding Company 2 
  Ltd 
 Greenwhitestar UK plc 
 Redwhiteblue Digital Marketing Services 
  Holdings Ltd 
 Redwhiteblue UK HoldCo Ltd 
 The Laxey Investment Trust Ltd 
 Unlimited Marketing Group Ltd 
 

Mr Riffner was appointed as a director of AJS Technology Limited on 1 December 2008, and subsequently resigned on 29 September 2012. AJS Technology Limited entered creditors' voluntary liquidation on 1 May 2013 and was dissolved on 6 March 2017.

Mr Riffner was appointed as a director of Fleche du Nord S.A. on 11 February 2009, and subsequently resigned on 24 March 2011. Fleche du Nord S.A. commenced insolvency proceedings on 9 September 2009, which completed on 4 June 2012.

Saki Riffner does not hold any Ordinary Shares in the Company. As at today's date, DBAY Funds hold 11,484,001 Ordinary Shares in the Company. As Chief Investment Officer of DBAY, Saki Riffner is also deemed to hold a beneficial interest in the Ordinary Shares held by DBAY Funds, representing approximately 9.9% of the Company's issued share capital.

There is no further information to be disclosed in relation to Saki Riffner's appointment pursuant to AIM Rule 17, paragraph (g) of Schedule Two of the AIM Rules for Companies.

- Ends -

*Adjusted for share based payments

*After expenditure on staff expansion, VW case acquisition and associated costs

For further enquiries:

 
 Anexo Group plc                                 [phone] 
                                                  www.anexo-group.com 
 Alan Sellers, Executive Chairman 
  Mark Bringloe, Chief Financial Officer 
  Nick Dashwood Brown, Head of Investor 
  Relations 
 
   Arden Partners plc                            [phone] 
   (Nominated Adviser and Broker)            www.arden-partners.co.uk 
   John Llewellyn-Lloyd / Benjamin Cryer 
   (Corporate) 
   Tim Dainton (Equity sales) 
 
   Berenberg 
   (Joint Broker)                                [phone] 
   Mark Whitmore                                    www.berenberg,com 
   Yudith Karunaratna 
 
   Buchanan                                      [phone] 
   (Financial Communications)                   [e-mail] 
   Henry Harrison-Topham / Steph Watson 
 

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 introducing garages 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

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January 25, 2021 02:00 ET (07:00 GMT)