Coats Group Plc Regulatory News (COA)

1

Details of the person discharging managerial responsibilities/person closely associated

a)

Name

Rajiv Sharma 

b)

Position/status

Chief Execuitve Officer

c)

Initial notification/ Amendment

Initial notification 

2

Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor

a)

Full name of entity

Coats Group plc

b)

Legal Entity Identifier Code

2138003SPYWGAITNFY17

3

Details of the transaction(s): section to be repeated for (i) each type of instrument; (ii) each type of transaction; (iii) each date; and (iv) each place where transactions have been conducted

a)

Description of the financial instrument, type of instrument Identification code

Share award constituting a right to acquire Ordinary shares of £0.05

b)

Identification code/ ISIN

GB00B4YZN328

c)

Nature of the transaction

Award of nil cost share options under the terms of the Coats Group plc Long Term Incentive Plan ("LTIP") as set out in the attached Appendix 1.

d)

Price(s) and volume(s)

Price(s)

Volume(s)

Nil

1,543,464

e)

Aggregated information- Aggregated volume- Price

1,543,464

n/a

f)

Date of the transaction

22 March 2024 

g)

Place of the transaction

London Stock Exchange, Main Market (XLON)

Enquiry details

Investors

Julian Wais

Coats Group plc

+44 (0)797 497 4690

Media

Richard Mountain / Nick Hasell

FTI Consulting

+44 (0)20 3727 1374

Measure

Weighting

(% of total award)

Definition1

Coats Group plc Earnings Per Share Compound Annual Growth (CAGR)

30%

The Compound Annual Growth (CAGR) in EPS achieved in the performance period. The Board will consider the CAGR in Normalised EPS which is EPS, adjusted to exclude exceptional items such as property gains or losses and the impact of IAS19 charges (pensions finance). 

Average Cash Conversion over 3-years (Cash)

20%

The average of the adjusted Free Cash Flow divided by normalised Attributable Profit for each of the three years in the performance period. The adjusted Free Cash Flow is before deficit repair contributions to the UK pension scheme and after maintaining the company's asset base ie operating cash flow minus capital expenditures, adjusted for exceptional items such as property gains or losses. 

Total Shareholder Return

25%

The total returns to shareholders which includes share price growth and ordinary dividend payments. The performance condition is measured against a comparator group consisting of the FTSE250 minus investment trusts.

Sustainability

25%

Achievement of 5 independent equally weighted 2026 Sustainability goals. 

TOTAL

100%

EPS CAGR (adjusted if necessary)

Threshold

Maximum

EPS CAGR in the period from 2024-2026. Measured from the 2023 base year

5%

13%

Vesting (The proportion of the award for this measure that vests)

25%

100%

Average Cash Conversion

Threshold

Maximum

Average Cash Conversion over the period 2024 to 2026

70%

90%

Vesting (The proportion of the award for this measure that vests)

25%

100%

Total Shareholder Return

Threshold

Maximum

Ranking Position vs FTSE250 (excluding investment trusts)

Median

Upper Quartile

Vesting (The proportion of the award for this measure that vests)

25%

100%

Sustainability

Threshold

Maximum

Energy: Absolute reduction in Scope 1&2 emissions in tonnes from 2022 baseline

20%

24%

Sustainable Materials: Growth in sustainable (non-virgin oil) based materials from 2022 baseline

Growth to 55%

Growth to 65%

Waste: Zero waste generated within our facilities being

diverted to landfill sites.

93% reduction from 2022 baseline

100% reduction and zero waste to landfill by 2026

Diversity & inclusion: Percentage of females in senior leadership roles

28%

32%

People: Percentage of employees in Coats units that have a

GPTW or equivalent certification

87%

89%

Vesting (The proportion of the award for this measure that vests)

25%

100%