DISCLOSURE UNDER RULE 2.10(c) OF THE CITY CODE ON TAKEOVERS AND MERGERS (THE "CODE")

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.

For immediate release                                                                                                              

26 June 2023

RECOMMENDED CASH OFFER

for

LOOKERS PLC ("Lookers")

by

GLOBAL AUTO HOLDINGS LIMITED ("Bidco")

Update on the irrevocable undertakings given by Mark Raban, Duncan McPhee and Oliver Laird and the letters of intent given by J O Hambro Capital Management Limited and Artemis Investment Management LLP

DISCLOSURE UNDER RULE 2.10(C) OF THE CODE            

On 20 June 2023, the board of Bidco and the board of Lookers announced that they had reached agreement on the terms and conditions of a recommended cash offer by Bidco for the entire issued and to be issued ordinary share capital of Lookers pursuant to Rule 2.7 of the Takeover Code (the "Offer"), to be implemented by means of a Court-sanctioned scheme of arrangement under Part 26 of the Companies Act 2006 (the "Scheme") (the "Rule 2.7 Announcement").

Capitalised terms used in this announcement, unless otherwise defined, shall have the meanings given to them in the Rule 2.7 Announcement.

As set out in the Rule 2.7 Announcement, Bidco had received irrevocable undertakings to vote in favour of the Scheme at the Court Meeting and the Resolutions at the General Meeting from the Lookers Directors, in respect of their own entire beneficial holdings and their connected persons and Bidco had also received certain letters of intent to vote in favour of the Scheme at the Court Meeting and the Resolutions relating to the Offer at the General Meeting.

Irrevocable Undertakings - Mark Raban, Duncan McPhee and Oliver Laird

The irrevocable undertaking given by Mark Raban related to 294,348 Lookers Shares, representing approximately 0.1% of the issued share capital of Lookers as at 19 June 2023 (being the latest practicable date prior to the publication of the Rule 2.7 Announcement).

The irrevocable undertaking given by Duncan McPhee related to 174,562 Lookers Shares, representing approximately 0.0% of the issued share capital of Lookers as at 19 June 2023 (being the latest practicable date prior to the publication of the Rule 2.7 Announcement).

The irrevocable undertaking given by Oliver Laird related to 49,818 Lookers Shares, representing approximately 0.0% of the issued share capital of Lookers as at 19 June 2023 (being the latest practicable date prior to the publication of the Rule 2.7 Announcement).

Bidco announced on 21 June 2023 that:

·   Mark Raban had acquired a beneficial interest in 3,330 Lookers Shares as a result of his election to participate in Lookers' dividend reinvestment plan; and

·   Duncan McPhee had acquired an aggregate of 8,762 Lookers Shares from the exercise of his outstanding SAYE options and as a result of his election to participate in Lookers' dividend reinvestment plan.

Mark Raban has advised Bidco that he has since acquired a beneficial interest in 93,709 Lookers Shares as a result of Lookers' bonus arrangements (the "Additional CEO Shares").

Duncan McPhee has advised Bidco that he has since acquired a beneficial interest in 58,307 Lookers Shares as a result of Lookers' bonus arrangements (the "Additional COO Shares").

Oliver Laird has advised Bidco that he has since acquired a beneficial interest in 58,307 Lookers Shares as a result of Lookers' bonus arrangements (the "Additional CFO Shares").

As a result, with effect from completion of the acquisition of the Additional CEO Shares, the Additional COO Shares and the Additional CFO Shares:

·    the irrevocable undertaking given to Bidco by Mark Raban is deemed to apply in respect of the Additional CEO Shares and is now given in respect of his entire holding of 391,387 Lookers Shares, representing approximately 0.1 per cent. of the issued share capital of Lookers as at the close of business on 23 June 2023 (being the latest practicable date prior to the date of this announcement);

·      the irrevocable undertaking given to Bidco by Duncan McPhee is deemed to apply in respect of the Additional COO Shares and is now given in respect of his entire holding of 241,631 Lookers Shares, representing approximately 0.1 per cent. of the issued share capital of Lookers as at the close of business on 23 June 2023 (being the latest practicable date prior to the date of this announcement); and

·    the irrevocable undertaking given to Bidco by Oliver Laird is deemed to apply in respect of the Additional CFO Shares and is now given in respect of his entire holding of 108,125 Lookers Shares, representing approximately 0.0 per cent. of the issued share capital of Lookers as at the close of business on 23 June 2023 (being the latest practicable date prior to the date of this announcement).

Letter of Intent - J O Hambro Capital Management Limited and Artemis Investment Management LLP

The letter of intent given by J O Hambro Capital Management Limited ("J O Hambro") related to 30,686,279 Lookers Shares, representing approximately 8.0% of the issued share capital of Lookers as at 19 June 2023 (being the latest practicable date prior to the publication of the Rule 2.7 Announcement).

Bidco announced on 21 June 2023 that J O Hambro had advised Bidco that it had disposed of 8,000,000 Lookers Shares and on 23 June 2023 that J O Hambro had advised Bidco that it had disposed of a further 1,500,000 Lookers Shares, resulting in the letter of intent given by J O Hambro being given in respect of 21,186,279 Lookers Shares, representing approximately 5.6 per cent of the issued share capital of Lookers as at the close of business on 22 June 2023 (being the date prior to the date of the 23 June 2023 announcement).

Following Bidco's announcements on 21 June 2023, J O Hambro has since advised Bidco that it has disposed of an additional 1,500,000 Lookers Shares (the "Sold Shares"). 

As a result, with effect from completion of the sale of the Sold Shares, the letter of intent given to Bidco by J O Hambro, has ceased to apply in respect of the Sold Shares and is now given in respect of its remaining holding of 19,686,279 Lookers Shares, representing approximately 5.2 per cent of the issued share capital of Lookers as at the close of business on 23 June 2023 (being the latest practicable date prior to the date of this announcement).

The letter of intent given by Artemis Investment Management LLP ("Artemis") related to 40,464,128 Lookers Shares, representing approximately 10.6% of the issued share capital of Lookers as at 19 June 2023 (being the latest practicable date prior to the publication of the Rule 2.7 Announcement).

Artemis has advised Bidco that it has disposed of 7,000,000 Lookers Shares (the "Sold Shares"). 

As a result, with effect from completion of the sale of the Sold Shares, the letter of intent given to Bidco by Artemis, has ceased to apply in respect of the Sold Shares and is now given in respect of its remaining holding of 33,464,128 Lookers Shares, representing approximately 8.8 per cent of the issued share capital of Lookers as at the close of business on 23 June 2023 (being the latest practicable date prior to the date of this announcement).

Therefore, the total number of Lookers Shares which are subject to irrevocable undertakings or letters of intent received by Bidco from Lookers Shareholders has reduced to 142,877,920 Lookers Shares, representing approximately 37.4 per cent of the issued share capital of Lookers as at the close of business on 23 June 2023 (being the latest practicable date prior to the date of this announcement).

Enquiries:

Further information

Jefferies International Limited ("Jefferies"), which is authorised and regulated by the Financial Conduct Authority in the United Kingdom, is acting exclusively for the Wider AAG Group and no one else in connection with the matters set out in this announcement and will not regard any other person as its client in relation to the matters in this announcement and will not be responsible to anyone other than Wider AAG Group for providing the protections afforded to clients of Jefferies nor for providing advice in relation to any matter referred to in this announcement or any transaction or arrangement referred to herein. Neither Jefferies nor any of its affiliates owes or accepts any duty, liability or responsibility whatsoever (whether direct or indirect, whether in contract, in tort, under statute or otherwise) to any person who is not a client of Jefferies in connection with this announcement, any statement contained herein, any transaction or arrangement referred to herein, or otherwise.

BMO Capital Markets Limited ("BMO"), which is authorised and regulated in the United Kingdom by the Financial Conduct Authority, is acting exclusively as financial adviser for the Wider AAG Group and for no one else in connection with the matters set out or referred to in this announcement and will not be responsible to anyone other than Wider AAG Group for providing the protections offered to clients of BMO nor for providing advice in relation to the matters set out or referred to in this announcement. Neither BMO nor any of its affiliates owes or accepts any duty, liability or responsibility whatsoever (whether direct or indirect, whether in contract, in tort, under statute or otherwise) to any person who is not a client of BMO in connection with this announcement, any matter or statement set out or referred to herein or otherwise.

Numis Securities Limited ("Numis"), which is authorised and regulated by the FCA in the United Kingdom, is acting exclusively for Lookers and for no one else in connection with the Offer and/or any other matter referred to in this announcement and will not be responsible to anyone other than Lookers for providing the protections afforded to its clients or for providing advice in relation to the Offer, the contents of this announcement, or any other matters referred to in this announcement. Neither Numis nor any of its subsidiaries, affiliates or branches owes or accepts any duty, liability or responsibility whatsoever (whether direct, indirect, consequential, whether in contract, in tort, under statute or otherwise) to any person who is not a client of Numis in connection with this announcement, any statement or other matter or arrangement referred to herein or otherwise.

Peel Hunt LLP ("Peel Hunt"), which is authorised and regulated in the United Kingdom by the Financial Conduct Authority, is acting exclusively for Lookers and for no one else in connection with the matters referred to in this announcement. Peel Hunt will not be responsible to anyone other than Lookers for providing the protections afforded to clients of Peel Hunt nor for providing advice in relation to the contents of, or matters referred to in, this announcement. Neither Peel Hunt nor any of its affiliates owes or accepts any duty, liability or responsibility whatsoever (whether direct or indirect, whether in contract, in tort, under statute or otherwise) to any person who is not a client of Peel Hunt in connection with the matters referred to in this announcement, or otherwise.

This announcement is not intended to and does not constitute an offer to sell or the solicitation of an offer to subscribe for or buy or an invitation to purchase or subscribe for any securities or the solicitation of any vote in any jurisdiction.

The release, publication or distribution of this announcement in jurisdictions outside the United Kingdom may be restricted by law and therefore persons into whose possession this announcement comes should inform themselves about, and observe such restrictions. Any failure to comply with such restrictions may constitute a violation of the securities law of any such jurisdiction.

Overseas Shareholders

The release, publication or distribution of this announcement in jurisdictions other than the United Kingdom may be restricted by law and therefore any persons who are not resident in the United Kingdom or who are subject to the laws of any jurisdiction other than the United Kingdom (including Restricted Jurisdictions) should inform themselves about, and observe, any applicable legal or regulatory requirements. In particular, the ability of persons who are not resident in the United Kingdom or who are subject to the laws of another jurisdiction to vote their Lookers Shares in respect of the Scheme at the Court Meeting, or to execute and deliver Forms of Proxy appointing another to vote at the Court Meeting on their behalf, may be affected by the laws of the relevant jurisdictions in which they are located or to which they are subject. Any failure to comply with applicable legal or regulatory requirements of any jurisdiction may constitute a violation of securities laws or regulations in that jurisdiction. To the fullest extent permitted by applicable law or regulations, the companies and persons involved in the Offer disclaim any responsibility or liability for the violation of such restrictions by any person.

This announcement has been prepared for the purpose of complying with English law and the Code and the information disclosed may not be the same as that which would have been disclosed if this announcement had been prepared in accordance with the laws of jurisdictions outside England.

The Offer will not be made, directly or indirectly, in or into or by use of the mails or any other means or instrumentality (including, without limitation, telephonic or electronic) of interstate or foreign commerce of, or any facility of a national, state or other securities exchange of, a Restricted Jurisdiction, and the Offer will not be capable of acceptance by any such use, means, instrumentality or facility or from within a Restricted Jurisdiction. Copies of this announcement and any formal documentation relating to the Offer are not being, and must not be, directly or indirectly, mailed or otherwise forwarded, distributed or sent in or into or from any Restricted Jurisdiction or any jurisdiction where to do so would constitute a violation of the laws of such jurisdiction and persons receiving such documents (including custodians, nominees and trustees) must not mail or otherwise forward, distribute or send them in or into or from any Restricted Jurisdiction. Doing so may render invalid any related purported vote in respect of acceptance of the Offer.

Further details in relation to Lookers Shareholders in overseas jurisdictions will be contained in the Scheme Document.

Notice to U.S. Investors in Lookers

The Offer relates to the shares of a company registered under the laws of England and Wales and is being made by way of a scheme of arrangement provided for under Part 26 of the Companies Act. The Offer, implemented by way of a scheme of arrangement, is not subject to the tender offer rules or the proxy solicitation rules under the U.S. Exchange Act. Accordingly, the Offer is subject to the disclosure requirements and practices applicable to a scheme of arrangement involving a target company in England with its securities admitted to trading on the London Stock Exchange, which differ from the requirements of U.S. tender offer and proxy solicitation rules. If, in the future, Bidco exercises its right to implement the Offer by way of a Takeover Offer and determines to extend the Takeover Offer into the United States, the Offer will be made in compliance with applicable U.S. laws and regulations including Sections 14(d) and 14(e) of the U.S. Exchange Act and Regulations 14D and 14E thereunder. Such a Takeover Offer would be made in the United States by Bidco (and/or a nominee of Bidco) and no one else.

The financial information included in this announcement has been prepared in accordance with accounting standards applicable in the United Kingdom and thus may not be comparable to financial information of U.S. companies or companies whose financial statements are prepared in accordance with U.S. generally accepted accounting principles.

It may be difficult for U.S. Lookers Shareholders to enforce their rights and any claim arising out of the U.S. federal securities laws or the laws of any state or other jurisdiction in the United States in connection with the Offer, because Lookers is located in a non-U.S. country, and some or all of its officers and directors may be residents of a non-U.S. country. U.S. Lookers Shareholders may not be able to sue a non-U.S. company or its officers or directors in a non-U.S. court for violations of the U.S. federal securities laws or the laws of any state or other jurisdictions in the United States. Further, it may be difficult to compel a non-U.S. company and its affiliates to subject themselves to a U.S. court's jurisdiction or judgment.

U.S. Lookers Shareholders also should be aware that the Offer may have tax consequences in the United States and that such consequences, if any, are not described herein. U.S. Lookers Shareholders are urged to consult with legal, tax and financial advisers in connection with making a decision regarding the Offer.

Disclosure Requirements of the Code

Under Rule 8.3(a) of the Code, any person who is interested in 1 per cent. or more of any class of relevant securities of an offeree company or of any securities exchange offeror (being any offeror other than an offeror in respect of which it has been announced that its offer is, or is likely to be, solely in cash) must make an Opening Position Disclosure following the commencement of the Offer Period and, if later, following the announcement in which any securities exchange offeror is first identified.

An Opening Position Disclosure must contain details of the person's interests and short positions in, and rights to subscribe for, any relevant securities of each of (i) the offeree company and (ii) any securities exchange offeror(s). An Opening Position Disclosure by a person to whom Rule 8.3(a) of the Code applies must be made by no later than 3.30 p.m. (London time) on the 10th business day (as defined in the Code) following the commencement of the offer period and, if appropriate, by no later than 3.30 p.m. (London time) on the 10th business day (as defined in the Code) following the announcement in which any securities exchange offeror is first identified. Relevant persons who deal in the relevant securities of the offeree company or of a securities exchange offeror prior to the deadline for making an Opening Position Disclosure must instead make a Dealing Disclosure.

Under Rule 8.3(b) of the Code, any person who is, or becomes, interested in 1 per cent. or more of any class of relevant securities of the offeree company or of any securities exchange offeror must make a Dealing Disclosure if the person deals in any relevant securities of the offeree company or of any securities exchange offeror. A Dealing Disclosure must contain details of the dealing concerned and of the person's interests and short positions in, and rights to subscribe for, any relevant securities of each of (i) the offeree company and (ii) any securities exchange offeror(s), save to the extent that these details have previously been disclosed under Rule 8 of the Code. A Dealing Disclosure by a person to whom Rule 8.3(b) of the Code applies must be made by no later than 3.30 p.m. (London time) on the business day (as defined in the Code) following the date of the relevant dealing.

If two or more persons act together pursuant to an agreement or understanding, whether formal or informal, to acquire or control an interest in relevant securities of an offeree company or a securities exchange offeror, they will be deemed to be a single person for the purpose of Rule 8.3 of the Code.

Opening Position Disclosures must also be made by the offeree company and by any offeror and Dealing Disclosures must also be made by the offeree company, by any offeror and by any persons acting in concert with any of them (see Rules 8.1, 8.2 and 8.4 of the Code).

Details of the offeree and offeror companies in respect of whose relevant securities Opening Position Disclosures and Dealing Disclosures must be made can be found in the Disclosure Table on the Panel's website at www.thetakeoverpanel.org.uk, including details of the number of relevant securities in issue, when the Offer Period commenced and when any offeror was first identified. You should contact the Panel's Market Surveillance Unit on +44 (0)20 7638 0129 if you are in any doubt as to whether you are required to make an Opening Position Disclosure or a Dealing Disclosure.

Publication on Website

In accordance with Rule 26.1 of the Code, a copy of this announcement will be made available (subject to certain restrictions relating to persons resident in Restricted Jurisdictions), free of charge, at https://globalautoholdings.com/ and at https://www.lookersplc.com/investors/recommended-proposed-offer/ by no later than 12 noon on the Business Day following the date of this announcement.

Neither the contents of these websites nor the content of any other website accessible from hyperlinks on such websites is incorporated into, or forms part of, this announcement.

Rounding

Certain figures included in this announcement have been subjected to rounding adjustments.