Strix Group Plc (LON:KETL), the AIM quoted global leader in the design, manufacture and supply of kettle safety controls and other complementary water temperature management components, has announced a corporate update covering the planned CFO retirement and leverage ratio covenant relaxation.
CFO retirement
Strix Group announced that after over twelve years with the business, Raudres Wong, Chief Financial Officer (“CFO”) has advised the Board of her intention to retire as CFO, effective immediately.
The process to appoint her successor is now underway and Mark Kirkland who is currently a non-executive director on the Strix Group Board is Interim CFO until a successful candidate is in place.
Mark qualified as a Chartered Accountant with PricewaterhouseCoopers in London and has extensive corporate experience gained over the last 30 years having held numerous senior roles in public and private companies. Mark’s initial career was in corporate finance, predominantly spent at UBS Limited. He has been CFO of numerous public companies and latterly was CEO of Delin Property, a pan-European logistics developer, investor and manager. He is currently a Director of Kelso Group Holdings Plc, a Director of AEW UK REIT Plc and advisor to DP World.
Gary Lamb, Chairman, said: “On behalf of the Board, I would like to thank Raudres for the contribution she has made to Strix Group in her time as CFO. Her leadership has supported us through the global challenges of Covid and the transition from a private to a global public company. We wish her well in her retirement.”
Raudres Wong, outgoing CFO, said: “I would like to thank the Board and the senior management team for their support in my time as CFO. I have every confidence in the future success of the business and I wish the team the very best for the future.”
Leverage ratio covenant relaxation
Strix also announces that it has proactively engaged and agreed with its banking syndicate a leverage ratio covenant relaxation to 2.5x in September 2023 and will then revert to 2.25x as at December 2023.
As was set-out in the recent interim results, capital allocation decisions will continue to prioritise debt reduction and free cash flow generation with a clear plan to get net debt / EBITDA to below 1.5x over the medium term.
The interim dividend of 0.9p per share (HY 2022: 2.75p) will be paid on 29 December 2023 to shareholders on the register on 17 November 2023 and the shares will trade ex-dividend from 16 November 2023.
Isle of Man based Strix Group Plc, is a global leader in the design, manufacture and supply of kettle safety controls and other components and devices involving water heating and temperature control, steam management and water filtration.
Strix’s core product range comprises a variety of safety controls for small domestic appliances, primarily kettles. Kettle safety controls require precision engineering and intricate knowledge of material properties in order to repeatedly function correctly. Strix has built up market leading capability and know-how in this field since being founded in 1982. The successful integration of the acquisition of Billi will also propel Strix into a new growth phase which diversifies the Group into the new hot tap market as well as increasing Strix’s existing position and portfolio of water dispenser systems.
Strix trades on the AIM Market of the London Stock Exchange (LON: KETL).
