Hancock & Gore merger update

Hancock & Gore Limited (ASX:HNG) is holding a General Meeting of shareholders today to provide an update on the merger of United Kingdom-based Schoolblazer Limited with its 100%-owned subsidiary Mountcastle Group. Schoolblazer has reported strong sales performance during its critical back to school period in the UK, with FY24 revenue of approximately 26 million pounds, representing an 8% increase from FY23. The company forecasts its FY24 EBITDA to be in line with expectations at the time of the merger announcement. Additionally, the Schoolblazer and Mountcastle teams have proactively commenced synergy execution, with UK sales teams participating in ongoing key Australian school conferences and joint sourcing trips.

Executive Commentary

Schoolblazer has demonstrated resilience and growth with a strong sales performance during the critical back to school period in the UK. The forecasted FY24 EBITDA is in line with our expectations at the time of the merger announcement, indicating a positive outlook for the combined entity. The proactive synergy execution between Schoolblazer and Mountcastle teams is progressing well, as evidenced by the joint participation in key Australian school conferences and sourcing trips. We are on track with the strategic initiatives for Mountcastle, including the enterprise resource planning system review and leadership changes. We look forward to providing further updates following the General Meeting and at our FY24 full year results release in November 2024.

Summary

Hancock & Gore Limited (ASX:HNG) is holding a General Meeting to update shareholders on the progress of the merger with Schoolblazer Limited and its subsidiary Mountcastle Group. Schoolblazer has reported a strong sales performance in the UK, with FY24 revenue of approximately 26 million pounds, representing an 8% increase from FY23. The company forecasts its FY24 EBITDA to be in line with expectations at the time of the merger announcement. Additionally, proactive synergy execution between Schoolblazer and Mountcastle teams is underway, with joint participation in key Australian school conferences and sourcing trips. Mountcastle has commenced its FY25 year in line with expectations, making progress on strategic initiatives such as the enterprise resource planning system review and leadership changes. The company aims to provide further updates following the General Meeting and at its FY24 full year results release in November 2024, indicating a positive outlook for the merged entity's future.