C & C intend to return €150m to shareholders

BULMERS maker C&C remains confident of achieving its earnings expectations for the full year despite a challenging period for the group.

Headquartered in Bulmers House, Crumlin, the group previously announced that it intends to return at least €150m to shareholders over the next three financial years ending in February 2025, 2026 and 2027.

This will be carried out through a mix of share buybacks, dividends and special dividends depending on prevailing circumstances.

C&C commenced a €15m share buyback programme on 1 March 2024 which has been completed.

The group said it will begin the second tranche shortly.

“Subject to shareholder approval today, the directors have also proposed a final dividend of 3.97 cent per share,” C&C said.

“An interim dividend of 1.89 cent per share was paid in December, making a full year dividend of 5.86 cent per share.”

This week the group announced that IDA Ireland chairman Feargal O’Rourke will join the Board as an independent, non-executive director and also become a member of the Audit Committee.

This is separate from the group’s recent engagement with Engine Capital.

In June, activist investor Engine Capital, which owns just under 5 per cent of C&C Group, called for a sale of the business.

In a public letter to the group’s board, US-based Engine Capital called on the Bulmers maker to explore “strategic alternatives” for the company, describing C&C Group as a “perennial underperformer.

The company reported a pre-tax loss of £111m for the year to the end of February, plunging from a profit of £52m the prior year.

Back in June, previous C&C chief executive officer Patrick McMahon stepped down from his role with immediate effect following accounting errors at the company.