Hostmore (MORE) Trading Update summary

Trading performance

• Like-for-like sales for the first 20 weeks of 2024 were 10% lower compared to the same period in 2023.

• EBITDA for the first four months of 2024 was £3.3 million higher than the same period in 2023.

• Closure of the final two 63rd+1st store locations is expected by 30 June 2024, with related supply chain and support costs already removed.

Financial outlook

• Net debt is expected to peak at the end of Q3 2024, later than usual, due to lower revenues and £3 million in transaction fees for the proposed TGI Fridays acquisition.

• Existing net debt is expected to be repaid on or shortly after completion of the TGI Fridays acquisition.

TGI Fridays acquisition update

• Refinancing for the combined group has attracted multiple lenders and is now under exclusivity with one party.

• The share purchase agreement is expected to be signed soon after financing is agreed.

• The acquisition is on track to reach binding terms and complete before the end of Q3 2024.