New Ordinary Shares issued

RNS Number : 4714X

Volex Group PLC

07 December 2010

 



For Immediate Release

December 7 2010

Volex Group PLC

New Ordinary Shares issued under the Volex Group plc 2010 Joint Share Ownership Plan; PDMR Notice

Volex Group plc (the "Company") announces that on 6 December 2010 it issued 775,000 new ordinary shares of 25 pence each ("Ordinary Shares") at a price of 25p per share upon and subject to the terms of the Volex Group plc 2010 Joint Share Ownership Plan ("JSOP").  Of the newly-issued Ordinary Shares, 600,000 Ordinary Shares are being issued to Andrew Cherry, the Company's Group Finance Director, and the remaining 175,000 Ordinary Shares are being issued to another employee of the Company, in each case jointly with the trustee of the Volex Group Guernsey Purpose Trust (the "Trust"). 

The 775,000 new Ordinary Shares rank in full for all dividends and other distributions made, paid or declared after their date of issue and otherwise pari passu in all respects with the existing issued Ordinary Shares. The Company has applied to the UK Listing Authority for the listing of, and to the London Stock Exchange for the admission of, these shares to the Official List and to trading on the London Stock Exchange's Main Market for listed securities.

Following this award, Andrew Cherry holds total conditional share awards over 905,623 Ordinary Shares. In addition, he holds 41,765 Ordinary Shares.

Joint Share Ownership Plan

The JSOP provides for the acquisition by employees, including Executive Directors, of beneficial interests in Ordinary Shares, which are held jointly with the Trust upon the terms of a Joint Ownership Agreement (the "JOA").   The terms of a JOA provide, inter alia, that if jointly owned shares become vested and are sold, the proceeds of sale will be divided between the joint owners so that the Trust receives the market value of the jointly owned shares at the date of their issue ("IMV") plus an amount representing notional interest on the IMV from the date of issue to the date of sale ("the carrying cost"), and the employee is entitled to the balance (if any).  It is a further term of each JOA that the employee may, in certain circumstances, acquire the Trustee's interest in the jointly owned shares for a consideration equal to the par value of the jointly owned shares (namely 25p per share).   Jointly owned shares vest if the employee remains employed within the Volex group of companies for a specified minimum period and performance targets relating to growth in share price are met.  

The jointly owned shares have been issued jointly to each individual and the Trust at an aggregate price equal to their par value of 25p per share.  The closing price of a share in the Company on 6 December 2010 was 335.0p.  Of the aggregate subscription monies for the shares jointly owned by Mr. Cherry and the Trust, totalling £150,000, Mr. Cherry has paid £600, with the balance of his jointly owned interest having been paid by the Trust out of monies advanced by way of loan to the Trust by the Company.

Disclosure and Transparency Rules

In accordance with the FSA's Disclosure and Transparency Rules, as at 6 December 2010 after taking into account the 775,000 Ordinary Shares issued earlier today, the Company's issued ordinary share capital comprises 62,493,578 ordinary shares of 25p with voting rights.

The above figures may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the Disclosure and Transparency Rules.

Volex Group PLC

Ray Walsh, Group Chief Executive	[phone]
Andrew Cherry, Group Finance Director	[phone]

 

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