C&C Group seeking FTSE listing as it hails 'transformational' year

Drinks maker C&C Group on Thursday reiterated its target to deliver double-digit earnings per share growth in 2020 as it announced plans to seek inclusion in the FTSE UK Index Series.

The Bulmers and Tennent's owner, which said it will delist from the Euronext Dublin exchange "in due course", pointed out that a majority of its revenues, earnings and activities are now derived in and from the UK.

Although it will be listed in the UK, it will remain domiciled and tax resident in Ireland, with its registered and corporate head office in Dublin.

The company said it had made a "solid" start to FY20, with trading to date in line with current market expectations.

Chief executive Stephen Glancey said 2019 was a "transformational" year for the group.

"The acquisition and subsequent performance of Matthew Clark & Bibendum contributed to earnings growth of over 20%," he said. "Reflecting the inherent strength of the C&C business today, our objective is to again deliver double digit EPS growth in FY20. Thereafter, we will target EPS growth in a mid to high single digit range."

Broker Shore Capital said the outcome and timing of the company's de-listing in Ireland and listing in the UK is dependent on shareholder discussions and Brexit consequences.

"We see C&C emerging from a period of transition as a stronger and more competitive business (across MCB/distribution and the core branded businesses), which we do not believe to be encapsulated in the current valuation."

At 1250 BST, the shares were up 4.1% at €4.10.