Vesting of Stobart Energy Incentive Plan
9 September 2019
STOBART GROUP LIMITED
('Stobart Group' or 'the Company')
Vesting of Stobart Energy Incentive Plan
Stobart Group, the aviation, energy and civil engineering group, confirms that the Stobart Energy Incentive Plan (SEIP) has now vested.
The SEIP was an incentive plan put in place to align fully the management of the Energy division with shareholder interests by benefitting from a significant increase in the value of the division. Further details were set out in the Notice of Annual General Meeting and Approval of the SEIP document circulated in advance of the 2016 Annual General Meeting. The SEIP was approved by 98.6% of shareholders.
For the purpose of determining the value of awards to management under the SEIP, the Board of Stobart Group appointed an independent valuer to carry out a valuation of the Energy division on a consolidated basis. That independent valuer has valued the equity of the Energy division at in excess of £210m as at 30 June 2019, compared to a starting valuation of £100m as at 30 June 20161.
Under the terms of the SEIP, the Energy division's management will now share in an award with a total value of £5.3m. All awards under the SEIP are being satisfied through the delivery of ordinary shares in the Company (i) the transfer of 665,251 existing ordinary shares held in the Stobart Group Employee Benefit Trust and (ii) the issuance of 3,830,947 new ordinary shares by the Company. The aggregate number of ordinary shares to be delivered to SEIP participants has been calculated2 by reference to the weighted average mid-market price of the Company's ordinary shares in the period from 30 June 2019 to 5 September 2019.
Applications have been made for the new ordinary shares to be admitted to the premium segment of the Official List of the Financial Conduct Authority and to trading on the main market for listed securities of the London Stock Exchange, effective on 12 September. These shares will be fully paid and rank pari passu in all respects with the existing ordinary shares in Stobart Group.
As at 12 September 2019, Stobart Group's issued ordinary share capital will comprise 374,652,662 ordinary shares of 10 pence each. No ordinary shares are held in Treasury.
Shareholders may use the above figure of 374,652,662 shares 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, Stobart Group under the Financial Conduct Authority's Disclosure Guidance and Transparency Rules.
The person responsible for arranging the release of this announcement on behalf of Stobart Group is Louise Brace, Company Secretary.
Enquiries:
Stobart Group Limited c/o Newgate Communications
Charlie Geller, Head of Group Communications
Newgate Communications +44 203 757 6880
Robin Tozer stobart@newgatecomms.com
Ian Silvera
1 The valuation and determination of awards to management has been carried in accordance with the SEIP rules and the Articles of Association of Stobart Biomass Products Limited dated 27 April 2017.
2 The calculation of participant entitlement under the terms of the SEIP is set out in the SEIP rules and clause 6 of the Articles of Association of Stobart Biomass Products Limited dated 27 April 2017.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
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