Carpetright : Publication of Scheme Document

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 OR VIOLATION OF THE RELEVANT LAWS OF THAT JURISDICTION

FOR IMMEDIATE RELEASE

LEI: 213800GO32BSNNHXID90

26 November 2019

RECOMMENDED CASH ACQUISITION
OF
Carpetright plc ('carpetright')
BY
meditor Holdings limited ('mhl')
(a company incorporated for this purpose by Meditor European Master Fund Limited)

Publication of Scheme Document

On 15 November 2019, the boards of Carpetright and MHL announced that they had reached agreement on the terms of a recommended cash offer pursuant to which MHL would acquire the entire issued and to be issued ordinary share capital of Carpetright (save for the Excluded Shares) (the 'Acquisition'). The Acquisition is being implemented by means of a Court-sanctioned scheme of arrangement under Part 26 of the Companies Act 2006 (the 'Scheme').

The board of Carpetright announces that it is today publishing and sending to Carpetright Shareholders a circular in relation to the Acquisition (the 'Scheme Document') setting out, amongst other things, the full terms and conditions of the Scheme, an explanatory statement pursuant to section 897 of the Companies Act 2006, an expected timetable of principal events, notices of the Court Meeting and General Meeting and details of the actions to be taken by Carpetright Shareholders, together with Forms of Proxy for the Court Meeting and the General Meeting. Carpetright is also sending in due course details of proposals to be made in connection with the Scheme to participants in the Share Incentive Schemes.

Capitalised terms used in this announcement ('Announcement') shall, unless otherwise defined, have the same meanings as set out in the Scheme Document.

Copies of this Announcement and the Scheme Document will be made available (subject to certain restrictions relating to persons in Restricted Jurisdictions) on Carpetright's website at: https://www.carpetright.plc.uk/investors/ up to and including the Scheme Effective Date. The contents of Carpetright's website are not incorporated into, and do not form part of, this Announcement. A copy of the Scheme Document (together with a copy of any related documents which are required to be so filed) will shortly be submitted to the National Storage Mechanism and will be available for inspection at: http://www.morningstar.co.uk/uk/NSM.

Notices of the Court Meeting and General Meeting

As further detailed in the Scheme Document, to become Effective, the Scheme must be approved by a majority in number of the Scheme Shareholders voting at the Court Meeting, either in person or by proxy, representing at least 75 per cent. in value of the Scheme Shares voted. In addition, the Special Resolution must be passed by the requisite majority at the General Meeting.

Notices convening the Court Meeting and General Meeting for 3.30 p.m. and 3.40 p.m. respectively (or, if later, as soon as the Court Meeting has been concluded or adjourned) on 18 December 2019 to be held at the offices of Travers Smith LLP, 10 Snow Hill, London, EC1A 2AL are set out in the Scheme Document. Forms of Proxy for use at such Meetings are enclosed with the Scheme Document.

It is important that, for the Court Meeting, as many votes as possible are cast so that the Court may be satisfied that there is a fair and reasonable representation of Scheme Shareholder opinion. Carpetright Shareholders are therefore strongly urged to submit their Forms of Proxy (or the electronic equivalent) (once received) as soon as possible in accordance with the instructions for so doing.

Timetable

The current expected timetable of principal events for the implementation of the Scheme is set out in the Scheme Document and is also attached as an Appendix to this Announcement. If any of the key dates set out in the expected timetable change, an announcement will be made through a Regulatory Information Service.

Enquiries:

Carpetright plc Wilf Walsh, Chief Executive Officer Jeremy Simpson, Chief Financial Officer	Tel: [phone]
Peel Hunt LLP (Financial Adviser to Carpetright) Dan Webster George Sellar Michael Nicholson Al Rae	Tel: [phone]
Citigate Dewe Rogerson (Financial PR) Kevin Smith Nick Hayns	Tel: [phone]

Important notices relating to financial advisers

Peel Hunt LLP, which is authorised and regulated in the United Kingdom by the Financial Conduct Authority, is acting exclusively for Carpetright and for no one else in connection with the Acquisition, the contents of this Announcement or any other matter referred to in this Announcement and will not be responsible to anyone other than Carpetright for providing the protections afforded to its clients nor for providing advice in relation to the Acquisition, the contents of this Announcement or any other matters referred to in this Announcement.

Further information

This Announcement is for information purposes only and does not constitute an offer to sell or an invitation to purchase any securities or the solicitation of an offer to buy any securities, or the solicitation of any vote or approval in any jurisdiction, pursuant to the Acquisition or otherwise. The Acquisition shall be made solely by means of the Scheme Document or any document by which the Acquisition is made which shall contain the full terms and Conditions of the Acquisition, including details of how to vote in respect of the Acquisition. Any vote in respect of the Scheme or other response in relation to the Acquisition should be made only on the basis of the information contained in the Scheme Document.

This Announcement has been prepared for the purposes of complying with English law, the rules of the London Stock Exchange, the Listing Rules 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 and regulations of any jurisdictions outside the United Kingdom.

Overseas jurisdictions

The release, publication or distribution of this Announcement in jurisdictions other than the United Kingdom may be restricted by the laws of those jurisdictions and therefore persons into whose possession this Announcement comes should inform themselves about and observe such restrictions.

Unless otherwise determined by MHL or required by the Code, and permitted by applicable law and regulation, the Acquisition shall not be made available, directly or indirectly, in, into or from a Restricted Jurisdiction where to do so would violate the laws in that jurisdiction and no person may vote in favour of the Scheme by any such means from within a Restricted Jurisdiction or any other jurisdiction if to do so would constitute a violation of the laws of that jurisdiction. Accordingly, copies of this Announcement and all documents relating to the Acquisition are not being, and must not be, directly or indirectly, mailed or otherwise forwarded, distributed or sent in, into or from a Restricted Jurisdiction where to do so would violate the laws in that jurisdiction, and persons receiving this Announcement and all documents relating to the Acquisition (including custodians, nominees and trustees) must not mail or otherwise distribute or send them in, into or from such jurisdictions where to do so would violate the laws in that jurisdiction.

The availability of the Acquisition to Carpetright Shareholders who are not resident in the United Kingdom may be affected by the laws of the relevant jurisdictions in which they are resident. Persons who are not resident in the United Kingdom should inform themselves of, and observe, any applicable requirements. To the fullest extent permitted by applicable law, the companies and persons involved in the Acquisition disclaim any responsibility or liability for the violation of such restrictions by any person.

The Acquisition shall be subject to the applicable requirements of the Code, the Panel, the London Stock Exchange and the Financial Conduct Authority. Further details in relation to Overseas Shareholders are contained in paragraph 14 of Part 2 (Explanatory Statement) of the Scheme Document.

This Announcement does not constitute a prospectus or prospectus equivalent document.

Additional information for US investors

Carpetright Shareholders in the United States should note that the Acquisition relates to the securities of a UK company and is proposed to be effected by means of a scheme of arrangement under English law. This Announcement, the Scheme Document and certain other documents relating to the Acquisition have been or will be prepared in accordance with English law, the Code and UK disclosure requirements, format and style, all of which differ from those in the United States. A transaction effected by means of a scheme of arrangement is not subject to the tender offer rules or the proxy solicitation rules under the US Exchange Act. Accordingly, the Acquisition is subject to the disclosure requirements of and practices applicable in the United Kingdom to schemes of arrangement, which differ from the disclosure requirements of the United States tender offer and proxy solicitation rules. If, in the future, MHL exercises the right to implement the Acquisition by way of a Takeover Offer and determines to extend the offer into the United States, the Acquisition will be made in compliance with applicable United States laws and regulations, including any applicable exemptions under the US Exchange Act.

Carpetright's financial statements, and all financial information that is included in the Scheme Document, or any other documents relating to the Acquisition, have been or will be prepared in accordance with International Financial Reporting Standards or other reporting standards or accounting practice which may not be comparable to financial statements of companies in the United States or other companies whose financial statements are prepared in accordance with US generally accepted accounting principles.

The receipt of cash pursuant to the Acquisition by a US holder as consideration for the transfer of its Carpetright Shares pursuant to the Scheme will likely be a taxable transaction for United States federal income tax purposes and under applicable United States state and local, as well as foreign and other, tax laws. Each Carpetright Shareholder is urged to consult his independent professional adviser immediately regarding the tax consequences of the Acquisition applicable to that Carpetright Shareholder.

It may be difficult for US holders to enforce their rights and claims arising out of the US federal securities laws, since MHL and Carpetright are located in countries other than the US, and some or all of their officers and directors may be residents of countries other than the US. US holders may not be able to sue a non-US company or its officers or directors in a non-US court for violations of US securities laws. Further, it may be difficult to compel a non-US company and its affiliates to subject themselves to a US court's judgement.

In accordance with normal UK practice and consistent with Rule 14e-5(b) of the US Exchange Act, MHL, certain affiliated companies and their nominees or brokers (acting as agents) may make certain purchases of, or arrangements to purchase, shares in Carpetright outside of the US, other than pursuant to the Acquisition, until the date on which the Acquisition and/or Scheme becomes Effective, lapses or is otherwise withdrawn. If such purchases or arrangements to purchase were to be made they would occur either in the open market at prevailing prices or in private transactions at negotiated prices and comply with applicable law, including the US Exchange Act. Any information about such purchases or arrangements to purchase will be disclosed as required in the United Kingdom, will be reported to a Regulatory Information Service and will be available on the London Stock Exchange website atwww.londonstockexchange.com.

Forward-looking statements

This Announcement (including information incorporated by reference in this Announcement), oral statements made regarding the Acquisition, and other information published by or concerning Meditor Group and/or Carpetright Group contain statements about Meditor Group and/or Carpetright Group that are or may be deemed to be forward-looking statements. All statements other than statements of historical facts included in this Announcement may be forward-looking statements. Without limitation, any statements preceded or followed by or that include the words 'targets', 'plans', 'believes', 'expects', 'aims', 'intends', 'will', 'may', 'anticipates', 'estimates', 'projects' or words or terms of similar substance or the negative thereof, are forward-looking statements. Forward-looking statements include statements relating to the following: (i) future capital expenditures, expenses, revenues, earnings, synergies, economic performance, indebtedness, financial condition, dividend policy, losses and future prospects; (ii) business and management strategies and the expansion and growth of Meditor Group's or Carpetright Group's operations and potential synergies resulting from the Acquisition; and (iii) the effects of government regulation on Meditor Group's and/or Carpetright Group's business.

These forward-looking statements are not guarantees of future performance. Such forward-looking statements involve known and unknown risks and uncertainties that could significantly affect expected results and are based on certain key assumptions. Many factors could cause actual results to differ materially from those projected or implied in any forward-looking statements. These

factors include, but are not limited to, the satisfaction of the conditions to the Acquisition, as well as additional factors, such as changes in political and economic conditions, changes in the level of capital investment, retention of key employees, changes in customer habits, success of business and operating initiatives and restructuring objectives, impact of any acquisitions or similar transactions, changes in customers' strategies and stability, competitive product and pricing measures, changes in the regulatory environment, fluctuations of interest and exchange rates, the outcome of any litigation. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date of this Announcement. All subsequent oral or written forward-looking statements attributable to Meditor Group or Carpetright Group or any of their respective members, directors, officers or employees or any persons acting on their behalf are expressly qualified in their entirety by the cautionary statement above. Each member of Meditor Group and Carpetright Group disclaims any obligation to update any forward-looking or other statements contained in this Announcement, except as required by applicable law.

No profit forecasts or estimates

No statement in this Announcement is intended as a profit forecast or estimate for any period and no statement in this Announcement should be interpreted to mean that earnings or earnings per share for Carpetright for the current or future financial years would necessarily match or exceed the historical published earnings or earnings per share for Carpetright.

Disclosure requirements of the Code

Under Rule 8.3(a) of the Code, any person who is interested in 1% 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) applies must be made by no later than 3.30 pm (London time) on the 10th business day following the commencement of the Offer Period and, if appropriate, by no later than 3.30 pm (London time) on the 10th business day 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% 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. A Dealing Disclosure by a person to whom Rule 8.3(b) applies must be made by no later than 3.30 pm (London time) on the business day 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. 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).

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 Takeover Panel's website atwww.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 [phone] if you are in any doubt as to whether you are required to make an Opening Position Disclosure or a Dealing Disclosure.

Publication of information on website

A copy of this Announcement, together with all information incorporated by reference into this Announcement, will be available, free of charge, subject to certain restrictions relating to persons resident in Restricted Jurisdictions, on Carpetright's website athttps://www.carpetright.plc.uk/investors/.

Right to receive documents in hard copy form

Any person entitled to receive a copy of documents, announcements and information relating to the Acquisition is entitled to receive such documents in hard copy form free of charge. A person may also request that all future documents, announcements and information in relation to the Acquisition are sent to them in hard copy form.

A hard copy of this Announcement may be requested by contacting Carpetright's Registrars, either in writing to The Pavilions, Bridgwater Road, Bristol BS99 6ZY or by calling the helpline on [phone] (or [phone] if calling from outside the UK). Calls outside the UK will be charged at the applicable international rate. Lines are open between 8.30 a.m. and 5.30 p.m. Monday to Friday excluding public holidays in England and Wales.

Appendix

Expected Timetable of Principal Events

All times shown are London times unless otherwise stated. The following indicative timetable is based on Carpetright's and MHL's current expected dates for the implementation of the Scheme and is subject to change. If any of the dates and/or times in this expected timetable change, the revised dates and/or times will be notified to Carpetright Shareholders by announcement through a Regulatory Information Service of the London Stock Exchange, with such announcement being made available on Carpetright's website https://ww.carpetright.plc.uk/investors/.

Event		Time and/or date
Publication of the Scheme Document		26 November 2019
Latest time for lodging Forms of Proxy for the:
Court Meeting (BLUE form)		3:30 p.m. on 16 December 2019(1)
General Meeting (WHITE form)		3:40 p.m. on 16 December 2019(2)
Voting Record Time		6:00 p.m. on 16 December 2019(3)
Court Meeting		3:30 p.m. on 18 December 2019
General Meeting		3:40 p.m. on 18 December 2019 (4)
The following dates are indicative only and are subject to change(5)
Scheme Hearing (to sanction the Scheme)		A date after the satisfaction of Condition 2.3, which is expected to be in the first quarter of 2020 ('D')(6)
Last day of dealings in, and for registration of transfers of, Carpetright Shares		D + 1 Business Day
Last day of dealings in, and for registration of transfers of, and disablement in CREST of, Carpetright Shares		D + 1 Business Day
Scheme Record Time		6:00 p.m. on D + 1 Business Day
Scheme Effective Date		D + 2 Business Days
Cancellation of listing of, and trading in, Carpetright Shares		By 8:00 a.m. on D + 3 Business Days
Latest date for dispatch of cheques/settlement through CREST for cash consideration due under the Scheme		14 days after the Scheme Effective Date
Long-Stop Date		1 March 2020(7)

_______

(1) It is requested that BLUE Forms of Proxy for the Court Meeting be lodged not later than 48 hours (excluding any part of a day that is not a working day) prior to the time appointed for the Court Meeting or, if the Court Meeting is adjourned, the time fixed for any adjourned Court Meeting (excluding in either case any part of such 48 hour period falling on a non-working day). If the BLUE Form of Proxy for the Court Meeting is not returned by such time, it may be handed to a representative of Carpetright's Registrars or to the Chairman of the Court Meeting before the start of that Meeting and still be valid.

(2) In order to be valid, the WHITE Forms of Proxy for the General Meeting must be received by 3:40 p.m. on 16 December 2019 or, if the General Meeting is adjourned, 48 hours (excluding any part of a day that is not a working day) prior to the time fixed for the adjourned General Meeting (excluding any part of such 48 hour period falling on a non-working day).

(3) If either the Court Meeting or the General Meeting is adjourned, the Voting Record Time for the relevant adjourned Meeting will be 6:00 p.m. on the date which is two days (excluding non-working days) prior to the date set for such adjourned Meeting.

(4) To commence at 3:40 p.m. or as soon thereafter as the Court Meeting shall have concluded or adjourned.

(5) These dates are indicative only and will depend, among other things, on the date upon which: (i) the Conditions are satisfied or (if capable of waiver) waived; (ii) the Court sanctions the Scheme; and (iii) the Scheme Court Order is delivered to the Registrar of Companies.

(6) Carpetright will give adequate notice of the date and time of the Scheme Hearing, once known, by issuing an announcement through a Regulatory Information Service.

(7) This is the latest date by which the Scheme may become Effective. However, the Long-Stop Date: (i) will be automatically extended to 31 March 2020 if the Scheme has not become Effective on or prior to 1 March 2020 but the Conditions set out in paragraphs 1.1 and 1.2 of Part 3 (Conditions to and Further Terms of the Scheme and the Acquisition) of the Scheme Document have been satisfied and the Conditions set out in paragraph 2 of Part 3 (Conditions to and Further Terms of the Scheme and the Acquisition) of the Scheme Document have been satisfied (or waived as applicable) or have not become incapable of satisfaction, and (ii) may be extended to such later date as Carpetright and MHL may agree in writing (with the Panel's consent and as the Court may approve (should such approval(s) be required)).