Travis Perkins plc

Return of capital to shareholders to commence in October

  • Sectors : Builders Merchants
  • Companies : Travis Perkins plc

Ratings and price correct at time of issue.

  • Travis Perkins plc

    Closing Price: 1690p

  • RATING 28/05/20

  • PREVIOUS RATING 01/07/16

    UNDERPERFORM

DAVY VIEW

Travis Perkins (TPK) has confirmed the imminent completion of the sale of its Plumbing & Heating (P&H) division. This will realise the group’s strategic ambition to streamline its operations and refocus on the trade sector. This leaves it with a market leading position in building distribution and a growth angle via Toolstation. Proceeds from the disposal will effectively be handed back to shareholders, enhancing the attraction of TPK from an income perspective. This process will start in October, with a special dividend per share of 35p (2% yield at the current price) and the commencement of a £100m share buyback (just over 2.5% of the current market capitalization).

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Sep 21 2021, 08:05 IST/BST

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