Sale of Engineering Division and Notice of Results

Carr's (CARR.L) is pleased to confirm that, further to the announcement on 16 January 2025 (the "Disposal Announcement"), it has completed the sale of the Engineering Division to Cadre Holdings, Inc.

Terms of the transaction

In accordance with the terms of sale agreement entered into between the parties, the Transaction has been successfully concluded for cash consideration on a cash free, debt free basis, representing an enterprise value of £75m.

For the purposes of UKLR 7.3.3, the Company confirms that there has been no material change affecting any matter contained in the Disposal Announcement.

The separate sale process relating to Chirton Engineering, which forms a part of the wider Engineering Division but is not being sold to Cadre, remains ongoing and is progressing positively. The Board will provide a further update at the time of the Group's interim results.

Use of proceeds

Following Completion and subject to shareholder approval, the Board intends to return up to £70m via the Capital Return described in the Disposal Announcement, with any remaining proceeds expected to be used for general corporate purposes and to fund strategic growth within Agriculture.

Further details pertaining to the Capital Return (including timing and structure) will be announced in due course.

Agriculture Strategy Update

The sale of the Engineering Division represents a critical milestone in Carr's strategic transition to a pure-play global Agriculture business and commitment to maximise shareholder value.

Operating under the revised and streamlined structure will enhance the Group's financial and operational efficiencies and improve its long-term quality of earnings. With new leadership and sector expertise now in place, the Group is strongly positioned to implement its focused 'Agriculture Strategy' and capitalise on market leading positions.

The 'Agriculture Strategy' comprises three core elements:

• Improve operating margin across the global portfolio;
• Deliver profitable commercial growth in the core business; and
• Expand into new, extensive grazing based growth geographies.

The transformation of the Agriculture business, under Josh Hoopes and his leadership team, continues to progress well and at an accelerated pace. Further details will be provided at the time of the Group's interim results.

Notice of results

The Company intends to announce its results for the six months ended 28 February 2025 on 7 May 2025.

David White, Chief Executive Officer of Carr's, commented:

"I am delighted to announce the successful completion of the sale process, which marks a significant milestone in delivering value for our shareholders. I would like to take this opportunity to thank all our colleagues in the Engineering Division for their dedication and hard work over the years and wish them every future success under Cadre's ownership.

We have made significant progress implementing our new Agriculture Strategy for the repositioned business, focused on driving profitable growth and expanding into new markets. With our streamlined operations, strengthened leadership team, and clear strategic direction, I am confident about the Group's ability to deliver sustainable, profitable growth."

Capitalised terms in this announcement shall, unless otherwise defined, have the same meanings as set out in the Disposal Announcement.

Carr's is a specialist Agriculture business with research proven, value-add supplements for pasture based livestock.

The business operates manufacturing sites across three different countries, selling expert-developed feed licks, bagged minerals and boluses under market leading brands to over 20 countries worldwide.

Overseas jurisdictions