Central Garden & Pet Announces Stock Dividend

Rhea-AI Summary

Central Garden & Pet Company (NASDAQ: CENT) announced a special dividend of one share of Class A Common Stock for every four outstanding shares of Common Stock, Class A Common Stock, and Class B Common Stock. The distribution aims to enhance liquidity and flexibility for growth objectives. The outstanding shares of Class A Common Stock will increase from approximately 41.1 million to approximately 54.6 million. Dividend shares of Class A Common Stock are expected to be distributed on February 8, 2024, to stockholders of record on January 8, 2024.

Will Issue One Share of Class A Common Stock for Every Four Outstanding Shares of Common Stock, Class A Common Stock and Class B Common Stock

WALNUT CREEK, Calif.--(BUSINESS WIRE)-- Central Garden & Pet Company (NASDAQ: CENT) (NASDAQ: CENTA) (“Central”) announced today that its board of directors declared a special dividend in the form of one share of Central’s Class A Common Stock for every four outstanding shares of Central’s Common Stock, Class A Common Stock and Class B Common Stock.

“We are distributing the Class A Common Stock to enhance the liquidity of the trading market. We believe the enhanced liquidity will benefit stockholders and provide Central with increased flexibility to pursue our growth objectives,” commented Beth Springer, interim CEO of Central Garden & Pet.

The Class A Common Stock is equal in all respects on a per share basis to the Common Stock, except the Common Stock has one vote per share and the Class A Common Stock is non-voting and the trading prices differ.

Following the distribution, the outstanding shares of Class A Common Stock will increase from approximately 41.1 million to approximately 54.6 million. There will be approximately 11.1 million outstanding shares of Common Stock and 1.6 million shares of Class B Common Stock before and after the distribution.

Dividend shares of Class A Common Stock are expected to be distributed on February 8, 2024 to stockholders of record on January 8, 2024. The Class A Common Stock is listed on the NASDAQ Global Select Market under the symbol “CENTA.”

Stockholders are not required to take any action in order to receive the stock dividend, and the book entry accounts of the stockholders of record will automatically be credited with the additional shares representing the stock dividend. If shares are held in a brokerage account, the additional shares will be distributed to the broker on the stockholder’s behalf. The stock dividend is being administered by Computershare Trust Company, N.A., Central’s transfer agent.

About Central Garden & Pet

Central Garden & Pet Company (NASDAQ: CENT) (NASDAQ: CENTA) understands that home is central to life and has proudly nurtured happy and healthy homes for over 40 years. With fiscal 2023 net sales of $3.3 billion, Central is on a mission to lead the future of the Pet and Garden industries. The Company’s innovative and trusted products are dedicated to helping lawns grow greener, gardens bloom bigger, pets live healthier and communities grow stronger. Central is home to a leading portfolio of more than 65 high-quality brands including Amdro®, Aqueon®, Cadet®, Farnam®, Ferry-Morse®, Four Paws®, Kaytee®, K&H®, Nylabone® and Pennington®, strong manufacturing and distribution capabilities and a passionate, entrepreneurial growth culture. Central is based in Walnut Creek, California and has 6,700 employees across North America and Europe. Visit www.central.com to learn more.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231211766871/en/

Investor Relations Contact

Friederike Edelmann

VP of Investor Relations & Corporate Sustainability

(925) 412 6726

fedelmann@central.com

Source: Central Garden & Pet Company

FAQ

What is the special dividend announced by Central Garden & Pet Company (NASDAQ: CENT)?

Central Garden & Pet Company announced a special dividend of one share of Class A Common Stock for every four outstanding shares of Common Stock, Class A Common Stock, and Class B Common Stock.

How will the special dividend enhance liquidity and flexibility for growth objectives at Central Garden & Pet Company (NASDAQ: CENT)?

The distribution of Class A Common Stock aims to enhance liquidity and provide Central Garden & Pet Company with increased flexibility to pursue their growth objectives.

When are the dividend shares of Class A Common Stock expected to be distributed by Central Garden & Pet Company (NASDAQ: CENT)?

Dividend shares of Class A Common Stock are expected to be distributed on February 8, 2024, to stockholders of record on January 8, 2024.

What is the impact of the special dividend on the outstanding shares of Class A Common Stock at Central Garden & Pet Company (NASDAQ: CENT)?

The outstanding shares of Class A Common Stock will increase from approximately 41.1 million to approximately 54.6 million as a result of the special dividend.

How will the stock dividend be administered for stockholders of Central Garden & Pet Company (NASDAQ: CENT)?

Stockholders are not required to take any action to receive the stock dividend. The additional shares representing the stock dividend will be automatically credited to the book entry accounts of stockholders of record. If shares are held in a brokerage account, the additional shares will be distributed to the broker on the stockholder’s behalf.