DIGNITY PLC

Capital/Financing Update • Oct 14, 2014

National Storage Mechanism | Additional information

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RNS Number : 2623U

Dignity PLC

14 October 2014

For immediate release                                                                                                           14 October 2014 

Dignity plc

Notice of General Meeting of Dignity plc and Issue of Prospectus by Dignity Finance PLC

Further to the announcement on 10 October 2014, Dignity plc is pleased to confirm that the subscription agreement for the issue of further Secured Notes was executed on 13 October. Dignity Finance PLC also, on 13 October, issued a Prospectus in respect of the issue of the further Secured Notes.

Dignity plc will today post a circular to shareholders, including a notice of general meeting. Copies of the circular may be obtained from the Company's investor website www.dignityfuneralsplc.co.uk. The meeting will be held at 11am on 30 October 2014.

The Prospectus confirms the pricing and quantum of the new Secured Notes at the levels announced on 10 October 2014 and the circular confirms Dignity plc's intention to return circa £64 million to its shareholders, equating to £1.20 per share.

The interim dividend declared on 30 July 2014 will still be paid on 31 October 2014 and will not be affected by this announcement.

Commenting on the transaction, Mike McCollum, Chief Executive said:

'I am delighted that our bondholders supported the proposals. This is an excellent transaction for them and for our shareholders. The Group is now locked in to the current low interest environment for the longer term, with a structure that will protect it from increasing interest rates and refinancing risk. The transaction will result in shareholders receiving £1.20 per share whilst at the same time reducing the annual debt service obligations of the Group by approximately £7 million per annum.'

A copy of the circular has been submitted to the National Storage Mechanism and will shortly be available for inspection at www.hemscott.com/nsm.do.

For more information

Mike McCollum, Chief Executive

Steve Whittern, Finance Director

Dignity plc                                                                             +44 (0) 121 354 1557

Richard Oldworth

Sophie McNulty

Clare Akhurst

Buchanan Communications                                            +44 (0) 20 7466 5000

This information is provided by RNS

The company news service from the London Stock Exchange

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