Employee Incentive Arrangemnt

19 Dec 2007 07:55

Impax Group PLC19 December 2007 Impax Group PLC Employee Incentive Arrangement 19 December 2007 Impax Group plc ("Impax", the "Group" or the "Company") The Company has today issued a circular (the "Circular") to Shareholders seekingapproval of proposals to extend the operation of the Impax Group EmployeeBenefit Trust 2005 ("the EBT"), pursuant to which awards of Ordinary Shares havebeen made for the benefit of employees of the Group and their families, inrelation to the three financial years ending 30 September 2010 and the issue ofa maximum of 18,250,000 Ordinary Shares under the EBT. Copies of the Circular may be obtained from the Company's registered office,Broughton House, 6-8 Sackville Street, London W1S 3DG or may be downloaded fromthe Company's website at www.impax.co.uk. Background In January 2005 Shareholders approved the establishment by the Company of theImpax Group Employee Benefit Trust 2005 ("EBT" or "Incentive Arrangement") forthe purposes, inter alia, of the grant of awards of Ordinary Shares to employeesof the Group. The purpose of establishing the Incentive Arrangement was tomotivate and incentivise eligible participants to achieve value forShareholders. The maximum number of Ordinary Shares that may be issued underthe Incentive Arrangement as approved by Shareholders was limited to 18,250,000Ordinary Shares. In January 2007, the remuneration committee proposed that the limit on themaximum number of Ordinary Shares that may be issued under the IncentiveArrangement be increased to 24,250,000 Ordinary Shares for the purposes ofmaking awards under the Incentive Arrangement in respect of the financial yearended 30 September 2007. However, following discussions with certainShareholders, the Board concluded that it should design and put forward newlong-term incentive arrangements rather than seek approval of an increase in thenumber of Ordinary Shares in respect of which awards could be made only inrelation to the financial year ending 30 September 2007. Since February 2007 the remuneration committee has formulated the proposals setout in the Circular to operate the Incentive Arrangement in relation to thethree financial years of the Company ending 30 September 2008, 2009 and 2010 andto issue a maximum of 18,250,000 Ordinary Shares under the Incentive Arrangementin respect of the three financial years ending 30 September 2010. Further details of the EBT and the proposals are set out in the Circular. Extraordinary General Meeting An extraordinary general meeting of the Company will be held on 31 January 2008for the purpose, inter alia, of considering a resolution to approve theoperation of the EBT in relation to the three financial years ending 30September 2010 and the increase in the number of Ordinary Shares that may beissued under the EBT. The resolutions to be proposed at the extraordinarygeneral meeting are set out in the notice of the meeting which is containedwithin the Circular. For further information please contact Impax Group plc 020 7434 1122Ian Simm, Chief Executive Landsbanki Securities (UK) Limited 020 7426 9000Mark Dickenson, Managing Director This information is provided by RNS The company news service from the London Stock Exchange