18 November 2022

Accrol Group Holdings plc

("Accrol", the "Group" or the "Company")

Awards under Long Term Incentive Plan and PDMR dealing

Accrol (AIM: ACRL), the UK's leading independent tissue converter, announces the second grant of options to executive Directors and certain senior management under the Long-Term Incentive Plan ("LTIP") announced on 5 March 2021.

The LTIP was established to incentivise management to deliver long-term value creation for shareholders and ensure alignment with shareholder interests.

Background

The LTIP is based on market standard annual awards and is limited to a maximum of 5% of the issued share capital of the Company over its five year life.

All awards made under the LTIP will be made by the granting of nil-cost options established in accordance with the rules of the LTIP and vesting is subject to adjusted EBITDA targets in line with the LTIP rules.

The Remuneration Committee has discretion to amend these terms to take account of, for example, corporate activities such as acquisitions to ensure that the performance targets remain appropriate. Malus and clawback provisions are also in place to reduce or recover any awards for criteria such as any material misstatement of the financial statements, a serious breach of the Company's code of ethics or a serious health and safety issue.

Award size, performance conditions and dilution

On 17 November 2022, options over 7,387,875 shares in aggregate (the "2023 Awards") were granted under the LTIP, including those set out below which were granted to directors:

The 2023 Awards are subject to the below Adjusted EBITDA targets measured over the performance period ending on 30 April 2025 and are summarised below:

If the maximum targets are met in FY25, the total dilutive impact of the 2023 Awards will be c.2.3%. The maximum aggregate dilutive effect of awards currently in issue that can be exercised under the LTIP remains below 5% of issued share capital. 

Overview of Accrol

Accrol Group Holdings plc is a leading tissue converter and supplier of toilet tissues, kitchen rolls, facial tissues, and wet wipes to many of the UK's leading discounters and grocery retailers across the UK. Following the recent acquisitions of LTC in Leicester and JD in Flint, North Wales, the Group now operates from six manufacturing sites, including four in Lancashire, which generate revenues totalling c.16% of the £2.1bn UK retail tissue market.

The below information and notification is made in accordance with the EU Market Abuse Regulation.

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