Issue of Options and Director/PDMR Shareholding

RNS Number : 6172X

Echo Energy PLC

20 December 2019

 

20 December 2019

Echo Energy plc

("Echo" or "the Company")

Issue of Options and Director/PDMR Shareholding

Echo Energy, the Latin American-focused upstream oil and gas company, announces that it has granted a total of 45,085,270 options (the "Options") over new ordinary shares in the Company ("Ordinary Shares") to employees of the Company in accordance with the provisions of the Company's Enterprise Management Incentive Plan. 23,000,000 of the Options have been awarded to Martin Hull, the Company's Chief Executive Officer.

The Options have been granted as part of the Company's strategy to retain and incentivise employees through the award of equity incentives, as set out in the Company's AIM admission document dated 15 December 2017.

All of the Options have an exercise price of 2.6 pence per Ordinary Share, will vest on the third anniversary of the date of grant and will be exercisable anytime thereafter until expiry on the fifth anniversary of the date on which the Options were granted.

The number of Ordinary Shares to be issued to Martin Hull on exercise (in whole or in part) of the Options now granted to him will be calculated based on an overall value cap attributed to his Options. Should the mid-market price per Ordinary Share at the time of exercise (in whole or in part) of the Options issued to Mr. Hull exceed 15.0 pence per Ordinary Share, the number of Ordinary Shares to be issued to Mr. Hull will be adjusted downwards to reflect a maximum price per new Ordinary Share of 15.0 pence (the "Value Cap"). No adjustments will be made in the event that the prevailing mid-market price per Ordinary Share is equal to or below 15.0 pence per Ordinary Share at the time of exercise.

The Value Cap applies only to the 23,000,000 Options issued to Martin Hull and does not apply to any of the other Options.

The formula used to calculate the number of new Ordinary Shares to be issued to Mr. Hull on exercise of his Options where the Company's share price exceeds 15.0 pence per Ordinary Share at the time of exercise, is as follows:

A = (B/C) x D

Where:

A = number of new Ordinary Shares to be issued

B = 15.0 pence

C = prevailing mid-market price per Ordinary Share, in pence, at the time of exercise of Options

D = number of Options exercised

Following the issue of the Options, Martin Hull holds 600,000 Ordinary Shares, representing 0.08% of the Company's issued share capital, and holds options to subscribe for a total of up to 35,000,000 new Ordinary Shares - comprising 23,000,000 Options, which are subject to the Value Cap, and 12,000,000 options to subscribe for new ordinary shares at 6.55 pence per new Ordinary Share.

The notification below, made in accordance with the requirements of the Market Abuse Regulation, provides further details.

For further information, please contact:

Echo Energy Martin Hull, Chief Executive Officer	via Vigo Communications
Vigo Communications (PR Advisor) Patrick d'Ancona Chris McMahon	[phone]
Cenkos Securities (Nominated Adviser) Ben Jeynes Katy Birkin	[phone]
Shore Capital (Corporate Broker) Jerry Keen	[phone]

NOTIFICATIONS AND PUBLIC DISCLOSURE OF TRANSACTIONS BY PERSONS DISCHARGING MANAGERIAL RESPONSIBILITIES AND PERSONS CLOSELY ASSOCIATED WITH THEM

1	Details of the person discharging managerial responsibilities / person closely associated
a)	Name	Martin Hull
2	Reason for the notification
a)	Position/status	PDMR (Chief Executive)
b)	Initial notification /Amendment	Initial notification
3	Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor
a)	Name	Echo Energy plc
b)	LEI	2138006SNII7SKIGG445
4	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	Ordinary shares of 0.25p each
	Identification code	GB00BF0YPG76
b)	Nature of the transaction	Grant of options to acquire ordinary shares of 0.25p each
c)	Price(s) and volume(s)
			Price(s)	Volume(s)
			Nil	23,000,000
d)	Aggregated information	n/a - single transaction
	- Aggregated volume
	- Price
e)	Date of the transaction	19 December 2019
f)	Place of the transaction	Outside a trading venue

 

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