REG - Fulcrum Utility Srvc - Implementation of Long Term Incentive Plan
8 March 2021
Fulcrum Utility Services Limited
("Fulcrum" or the "Company")
Implementation of Long Term Incentive Plan
The Company announces the implementation of a new Long Term Incentive Plan ("LTIP") for certain of the executive management team to ensure the appropriate ongoing incentivisation of the new executive management team.
Participants in the scheme have been issued growth shares ("Growth Shares") in a subsidiary company, Fulcrum Group Holdings Limited, which may be exchanged for new ordinary shares in Fulcrum ("New Ordinary Shares") in future, subject to meeting certain conditions and performance criteria as set out below. The Growth Shares do not carry any voting rights nor entitlement to any dividend. The Growth Shares have a vesting period that will end on the date of the announcement of the Group's results for the financial year ending 31 March 2025. A total of 95,000 Growth Shares have been awarded under the Scheme, as follows:
Name
Job Title
Number of Growth Shares issued
Terry Dugdale
Chief Executive Officer
40,000
Jenny Cutler
Chief Financial Officer
18,000
Andy Hirst
Group Business Development Director
12,000
Tim Houtby
Smart Metering Director
10,000
Mark Bayliss
Operations Director
10,000
Jo Thompson
Director of People & Culture
5,000
Total
95,000
Performance criteria and vesting criteria
The key performance hurdle requires a base share price achievement of at least 52.5 pence per share (calculated as an average of the 40 preceding trading days), immediately prior to the vesting date. Participants will realise no value from the scheme unless the total shareholder return ("TSR"), calculated as share price appreciation adjusted for dividend payments per share, exceeds this level at the end of the vesting period.
Above this TSR level participants will share a percentage of the TSR gain from a baseline of 26.25 pence per share, representing the tender price offered to Shareholders in early 2020.
The percentage of total TSR gain above 26.25 pence to be distributed amongst participants will be 2.75% at a TSR of 52.5 pence per share, rising to 6.25% at a TSR of 105 pence per share. This would result in a potential issue of between 3,054,122 New Ordinary Shares up to a maximum of 10,411,779 New Ordinary Shares. In the event that the New Ordinary Shares are issued to participants, following conversion of Growth Shares the total value of these shares would be between £1.6 million (from a minimum TSR gain of £58.3 million) to £10.9 million (from a maximum TSR gain of £174.9 million). The maximum number of 10,411,779 New Ordinary Shares which could be issued following vesting represents approximately 4.69% of the Company's issued share capital.
In the event that the Company's share price reaches 105 pence per share during the vesting period (based on an average of the 40 preceding trading days) then the scheme will vest immediately and the participants will realise value for their growth shares at the maximum level.
Upon exchange of Growth Shares for New Ordinary Shares, participants will be subject to a one-year lock in period, subject to the limited exceptions of a) selling sufficient shares to meet any tax liability and b) up to 10% of their New Ordinary Shares without restrictions.
The scheme contains appropriate provisions for good and bad leavers.
The implementation of the LTIP comprises a related party transaction under Rule 13 of the AIM Rules for Companies. The independent directors of Fulcrum, which for the purposes of this related party transaction comprise all board members other than Terry Dugdale, consider, having consulted with Fulcrum's nominated adviser, that the terms of the transaction are fair and reasonable insofar as Fulcrum's shareholders are concerned.
Template for notification 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
Terry Dugdale
2
Reason for the notification
a)
Position/status
Chief Executive Officer
b)
Initial notification / amendment
Initial
3
Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor
a)
Name
Fulcrum Utility Services Limited
b)
LEI
213800UOG45CW6KZY620
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
Identification code
Growth share scheme shares issued in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
ISIN of new ordinary shares in Fulcrum Utility Services Limited: KYG368851047
b)
Nature of the transaction
Grant of growth share scheme shares in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
c)
Price(s) and volume(s)
Price(s)
Volume(s)
Nominal value £0.0036
40,000
d)
Aggregated information
- Aggregated volume
- Price
N/A
e)
Date of the transaction
8 March 2021
f)
Place of the transaction
Outside a trading venue
1
Details of the person discharging managerial responsibilities / person closely associated
a)
Name
Jenny Cutler
2
Reason for the notification
a)
Position/status
Chief Financial Officer
b)
Initial notification / amendment
Initial
3
Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor
a)
Name
Fulcrum Utility Services Limited
b)
LEI
213800UOG45CW6KZY620
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
Identification code
Growth share scheme shares issued in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
ISIN of new ordinary shares in Fulcrum Utility Services Limited: KYG368851047
b)
Nature of the transaction
Grant of growth share scheme shares in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
c)
Price(s) and volume(s)
Price(s)
Volume(s)
Nominal value £0.0036
18,000
d)
Aggregated information
- Aggregated volume
- Price
N/A
e)
Date of the transaction
8 March 2021
f)
Place of the transaction
Outside a trading venue
1
Details of the person discharging managerial responsibilities / person closely associated
a)
Name
Andy Hirst
2
Reason for the notification
a)
Position/status
PDMR - Group Business Development Director
b)
Initial notification / amendment
Initial
3
Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor
a)
Name
Fulcrum Utility Services Limited
b)
LEI
213800UOG45CW6KZY620
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
Identification code
Growth share scheme shares issued in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
ISIN of new ordinary shares in Fulcrum Utility Services Limited: KYG368851047
b)
Nature of the transaction
Grant of growth share scheme shares in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
c)
Price(s) and volume(s)
Price(s)
Volume(s)
Nominal value £0.0036
12,000
d)
Aggregated information
- Aggregated volume
- Price
N/A
e)
Date of the transaction
8 March 2021
f)
Place of the transaction
Outside a trading venue
1
Details of the person discharging managerial responsibilities / person closely associated
a)
Name
Tim Houtby
2
Reason for the notification
a)
Position/status
PDMR - Smart Metering Director
b)
Initial notification / amendment
Initial
3
Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor
a)
Name
Fulcrum Utility Services Limited
b)
LEI
213800UOG45CW6KZY620
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
Identification code
Growth share scheme shares issued in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
ISIN of new ordinary shares in Fulcrum Utility Services Limited: KYG368851047
b)
Nature of the transaction
Grant of growth share scheme shares in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
c)
Price(s) and volume(s)
Price(s)
Volume(s)
Nominal value £0.0036
10,000
d)
Aggregated information
- Aggregated volume
- Price
N/A
e)
Date of the transaction
8 March 2021
f)
Place of the transaction
Outside a trading venue
1
Details of the person discharging managerial responsibilities / person closely associated
a)
Name
Mark Bayliss
2
Reason for the notification
a)
Position/status
PDMR - Operations Director
b)
Initial notification / amendment
Initial
3
Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor
a)
Name
Fulcrum Utility Services Limited
b)
LEI
213800UOG45CW6KZY620
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
Identification code
Growth share scheme shares issued in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
ISIN of new ordinary shares in Fulcrum Utility Services Limited: KYG368851047
b)
Nature of the transaction
Grant of growth share scheme shares in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
c)
Price(s) and volume(s)
Price(s)
Volume(s)
Nominal value £0.0036
10,000
d)
Aggregated information
- Aggregated volume
- Price
N/A
e)
Date of the transaction
8 March 2021
f)
Place of the transaction
Outside a trading venue
1
Details of the person discharging managerial responsibilities / person closely associated
a)
Name
Jo Thompson
2
Reason for the notification
a)
Position/status
PDMR - Director of People and Culture
b)
Initial notification / amendment
Initial
3
Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor
a)
Name
Fulcrum Utility Services Limited
b)
LEI
213800UOG45CW6KZY620
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
Identification code
Growth share scheme shares issued in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
ISIN of new ordinary shares in Fulcrum Utility Services Limited: KYG368851047
b)
Nature of the transaction
Grant of growth share scheme shares in subsidiary of Fulcrum Utility Services Limited, which may be convertible into new ordinary shares in Fulcrum Utility Services Limited.
c)
Price(s) and volume(s)
Price(s)
Volume(s)
Nominal value £0.0036
5,000
d)
Aggregated information
- Aggregated volume
- Price
N/A
e)
Date of the transaction
8 March 2021
f)
Place of the transaction
Outside a trading venue
Enquiries:
Fulcrum Utility Services Limited
Terry Dugdale, Chief Executive Officer +44 (0)114 280 4102
Jenny Cutler, Chief Financial Officer
Cenkos Securities plc (Nominated adviser and broker)
Max Hartley (Nomad) / Michael Johnson (Sales) +44 (0)20 7397 8900
N+1 Singer (Joint Corporate Broker)
Sandy Fraser / Rachel Hayes / Carlo Spingardi +44 (0)20 7496 3000
Notes to Editors:
Fulcrum is a multi-utility infrastructure and services provider. The Group operates nationally with its head office in Sheffield, UK and its main business is the design, build, ownership and maintenance of energy connections and their related utility infrastructure including the EV charging network. The Group's offering also extends to smart meter ownership and exchange programmes, and the selective ownership and maintenance of utility networks and infrastructure.
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