DGAP-News: HORNBACH Familien-Treuhandgesellschaft mbH: Hornbach family to buy back ordinary shares in Hornbach Holding AG from

DGAP-News: HORNBACH Familien-Treuhandgesellschaft mbH: Hornbach family to buy 
back ordinary shares in Hornbach Holding AG from Kingfisher

DGAP-News: HORNBACH Familien-Treuhandgesellschaft mbH / Key word(s):
Investment
HORNBACH Familien-Treuhandgesellschaft mbH: Hornbach family to buy
back ordinary shares in Hornbach Holding AG from Kingfisher

25.03.2014 / 08:05

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PRESS RELEASE

Following announcement of Kingfisher's complete exit from equity
investment:

Hornbach family to buy back ordinary shares 
in Hornbach Holding AG from Kingfisher 

Albrecht Hornbach: "Clear sign of family's commitment" / 
Kingfisher exit from listed Hornbach shares increases free float 

Annweiler am Trifels, March 25, 2014. 
The Hornbach family is to buy back the minority stake held by the British
retail group Kingfisher plc in the unlisted ordinary shares in Hornbach
Holding AG (25% plus two shares). This was announced by the family trust
Hornbach Familien-Treuhandgesellschaft mbH, based in
Annweiler/Rheinland-Pfalz, in parallel with Kingfisher's simultaneous
announcement of its exit from all financial investments in the Hornbach
Group. Comments Albrecht Hornbach, Managing Director of the family trust:
"This buyback will enable the family to determine the future use of
Kingfisher's stake in the Group's voting equity. We are thus underlining
our commitment to upholding the long-term business autonomy of the Hornbach
Group."

Kingfisher's plans are linked to its withdrawal from Hornbach's supervisory
bodies in September 2013. Kingfisher holds a qualified minority stake of
25% plus two shares in the voting capital of Hornbach Holding AG.
Furthermore, 17.4% of the listed preference shares in Hornbach Holding AG
(ISIN DE0006083439) and 5.2% of the listed ordinary shares in
Hornbach-Baumarkt-AG (ISIN DE0006084403) were owned by Kingfisher.
Kingfisher has sold its two listed share packages to an international
circle of institutional investors.
 

Consistent step and clear relationship 

"I have complete understanding for the consistent step Kingfisher has now
taken in close liaison with us as majority shareholders", commented
Albrecht Hornbach, Managing Director and Chairman of Hornbach
Familien-Treuhandgesellschaft mbH, "particularly since there was no
opportunity on the horizon for the British investors to adopt a more
dominant position at Hornbach." Furthermore, the strategic decisions taken
by the minority shareholder last year were incompatible with any
continuation of the alliance between the two companies. Following its
takeover of 15 Bricostore DIY outlets in Romania in May 2013 and given its
preparations for the market launch of its small-scale retail format
"Screwfix" in Germany in summer 2014, Kingfisher was for the first time in
direct competition with its German cooperation partner. "Matters are now
clear and there are no conflicts of interest", remarked Albrecht Hornbach.

Positive impact expected on Hornbach share trading 

Albrecht Hornbach expects the sale of listed Hornbach shares from
Kingfisher's holdings to impact positively on the share's stock market
tradability. For the eight million preference shares in Hornbach Holding AG
listed in the SDAX, the free float is set to increase from 82.6% to 100%.
"This will on the one hand boost market capitalization, a key factor in
determining index affiliation. On the other hand, it should also benefit
the share's future liquidity due to the broader shareholder base." Similar
effects are basically expected for the Baumarkt share as well, whose free
float will rise from 18.4% to 23.6% of the total of 31.8 million listed
ordinary shares.


End of financial news

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25.03.2014 Dissemination of a Corporate News, transmitted by DGAP - a
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