TI1 Trian Investors 1 Limited

TIDMTI1

RNS Number : 4691P

Trian Investors 1 Limited

17 February 2021

17 February 2021

TRIAN INVESTORS 1 LIMITED

(the "Company")

Net Asset Value as at 31 January 2021

Trian Investors 1 Limited is pleased to announce its Net Asset Value as at 31 January 2021 was GBP383 million, or 144.9 pence per Ordinary Share.

Company Hedging Activities

As the Company has previously noted in its financial reports, Ferguson plc ("Ferguson") receives the vast majority of its revenues and profits in U.S. Dollars and therefore, from the perspective of a Pound Sterling investor, the Company's Ferguson investment may be adversely affected by the appreciation of Pounds Sterling against the U.S. Dollar. In order to mitigate this risk, the Company through Trian Investors 1, L.P. (the "Investment Partnership") entered into a currency hedge in March 2020, in the form of an option (the "March 2020 Option") to purchase GBP125,000,000 Pounds Sterling for US$165,875,000, to offset a portion of the Company's U.S. Dollar exposure resulting from its investment in Ferguson. The March 2020 Option was originally scheduled to expire in March 2021.

In light of the strengthening of Pounds Sterling against the U.S. Dollar over the past several months, the Company through the Investment Partnership recently took advantage of attractive pricing conditions and sold the March 2020 Option for GBP5,200,000. Simultaneously, the Company through the Investment Partnership entered into a new option (the "February 2021 Option"), which expires in 12 months, to purchase GBP125,000,000 Pounds Sterling for US$181,250,000, for a premium of GBP1,743,750. Taken together, these two transactions were designed to allow the Company to recognize cash proceeds of GBP3,456,250 on a net basis, while still providing it with protection against significant further appreciation of Pounds Sterling against the U.S. Dollar during the next 12 months. However, there is no assurance that the February 2021 Option will be effective at managing the Company's currency exposure.

For further information, please contact:

Numis Securities Limited

(Joint corporate broker)

+44 (0)20 7260 1000

David Benda

Jefferies International Limited

(Joint corporate broker)

+44 (0)20 7029 8000

Stuart Klein

Ocorian Administration (Guernsey) Limited

(Administrator and Company Secretary)

+44 (0)1481 742 742

Ian Smith

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