RNS Number : 3054L
Falanx Group Limited
21 December 2018

Falanx Group Limited

(“Falanx” or “the Company”)

Grant of Share Options

Falanx Group Ltd announces the grant of 4,750,000 share options to the Directors and 9,300,000  share options to other management and employees (together the “Share Options”).

The Company considers it important to incentivise employees and Directors through share incentive arrangements and to align them with shareholders to create long term value.

Options under this plan are granted with a strike price of 3.5p each which is approximately 19% higher than the closing mid-market price on 20 December 2018. The option scheme is structured so that there are only returns for participants where the share price has very significantly increased from the current levels.  Individual Director grants are set out below:

Individual Director Option Grants

 

Current Share Options

New Grant

Enlarged Share Options

Mike Read

5,000,000

1,500,000

6,500,000

Ian Selby

5,000,000

1,500,000

6,500,000

John Blamire

5,000,000

1,500,000

6,500,000

Emma Shaw  

1,250,000

250,000

1,500,000

 

 

 

 

 

Vesting Criteria

These Share Options vest in three tranches: the first tranche when the share price reaches 6.5p (25%), the second tranche when the share price reaches 9p (25%) and the third tranche when the share price reaches 12p (50%). The Share Options only vest if the average share price has reached the relevant threshold level for a period of three months, save for the event of a change of control in the Company, in which case they will vest in full. Based on the mid-market closing price on 20th December 2018 of 2.95p there is no gain at all unless the share price increases by 120% and full gains are not achieved until a gain of 307% has been achieved.

A total of 9,300,000 options have been issued to other staff in the business. All vest as above save for a total of 1,500,000 which have been issued to senior technical staff involved in the development of key technologies and their vesting is based on demanding incremental technical deliveries.

These option grants are under the Company’s EMI scheme where the individual and the grant meets EMI criterial. Grants which do not are under the same rules as the EMI scheme but will not benefit from EMI tax status. The Share Options have an exercise period of 10 years from grant under the rules of the EMI Scheme.

The total number of employee share options currently outstanding represents 13.0% of the TVR and 11.5% on a fully diluted basis.

Enquiries:

 

Falanx Group Limited

Mike Read, Chief Executive Officer

www.falanx.com

 

 

SPARK Advisory Partners Limited

Nominated Adviser

Matt Davis / James Keeshan

+44 (0) 203 368 3551

 

 

 

 

 

Turner Pope Investments (TPI) Ltd

Broker

Ben Turner / James Pope

 

IFC Advisory Ltd

Financial PR & IR

Graham Herring

Miles Nolan

Zach Cohen

+44 (0) 203 621 4120

 

 

 

+44 (0) 203 934 6630

 

       

About Falanx

Falanx Group Limited, is a global intelligence and cyber defence provider working with blue chip and government clients. It operates the MidGARD cyber monitoring platform for corporate and governmental customers which utilises a combination of proprietary and third-party processes and technologies. For more information: http://www.falanx.com/

 

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

1

Details of the person discharging managerial responsibilities / person closely associated

a)

Name

1.    Mike Read

2.    Ian Selby

3.    John Blamire

4.    Emma Shaw

 

2

Reason for the notification

a)

Position/status

1.    Chairman and Chief Executive Officer; Director

2.    Chief Financial Officer; Director

3.    Chief Operations Officer; Director

4.    Non-Executive Director; Director

 

b)

 

Initial notification /Amendment

Initial notification

3

 

Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor

a)

Name

Falanx Group Limited

b)

LEI

213800YO4F9CUQLALV19

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

Options over Ordinary Shares

 

 

 

ISIN: VGG3338A1075

b)

Nature of the transaction

Grant of options

 

c)

Price(s) and volume(s)

 

Price: 3.5p

Volume

1.    1,500,000

2.    1,500,000

3.    1,500,000

4.    250,000

 

 

d)

Aggregated information

 

– volume: 4,750,000

– Price: 3.5p

e)

Date of the transaction

21 December 20018

f)

Place of the transaction

Not on a trading venue

 

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 [email protected] or visit www.rns.com.

END

MSCFKDDPBBDDCBB