Kape Technologies PLC Issue of Share Awards (7552Y)

TIDMKAPE

RNS Number : 7552Y

Kape Technologies PLC

24 August 2018

24 August 2018

Kape Technologies plc

("Kape" or the "Company")

Issue of Share Awards

Kape (AIM: KAPE), the consumer security software business, announces that awards in respect of its ordinary shares of $0.0001 each ("Ordinary Shares") have been granted under the Company's 2014 Global Equity Plan ("Plan" and "Awards") to Ido Erlichman, Chief Executive Officer, and Moran Laufer, Chief Financial Officer (together the "Executives"):

 
 PDMR             Number of Ordinary Shares subject to 
                   Award 
 Ido Erlichman    1,200,000 
                 ------------------------------------- 
 Moran Laufer     600,000 
                 ------------------------------------- 
 

The Awards have been approved by the remuneration committee of the Company to incentivise the Executives, who currently have limited equity interests in the Company, to deliver long-term value creation for shareholders and ensure alignment with shareholder interests.

The Awards vest equally over the three year period from grant, subject to the achievement of certain performance metrics relating to the three financial years of the Company commencing 1 January 2018 ("Performance Period"), as set out below:

 
               SaaS Revenue      Adjusted EPS      G&A Target      Total Vesting 
                  Target            Target 
               50% of Award      25% of Award     25% of Award 
           -------------------  -------------  ----------------- 
                                                  The adjusted 
                                                  G&A expenses 
                                                 as a proportion 
                                                  of the total 
                                                   revenue of 
                                                   the Company 
                                                  is < 15% for 
            25% of total                         each financial 
 FY 2018     Company revenues       $0.049            year            33.33% 
           -------------------  -------------  -----------------  -------------- 
            40% of total 
 FY 2019     Company revenues       $0.065                            33.33% 
           -------------------  -------------  -----------------  -------------- 
            55% of total 
 FY 2020     Company revenues       $0.072                            33.34% 
           -------------------  -------------  -----------------  -------------- 
 

For the purposes of the above:

-- "SaaS Revenue" means revenues from customer contracts that will renew automatically at the end of their term unless actively terminated by the customer;

-- "Adjusted EPS" means the fully diluted adjusted Earnings Per Share of the Company (as presented in the annual accounts related to each financial year of the Performance Period); and

-- "G&A" means the general and administrative expenses after adjusting for one-off and non-recurring expenses of the Company (as presented in the annual accounts related to each financial year of the Performance Period).

Should the SaaS Revenue, Adjusted EPS or G&A expenses fail to meet these target levels in any of the financial years, the proportion of the Award for that financial year will be lost and will not be capable of vesting for the Executives.

The Awards have been granted as Jointly Owned Equity Awards ("JOE Awards"). The Company will transfer 1,800,000 Ordinary Shares out of treasury to Intertrust Employee Benefit Trustee Limited ("Trustee") as trustee of the Kape Technologies plc Employee Benefit Trust ("EBT"), to be held jointly with the Executives in order to satisfy the proposed JOE Awards. Under the terms of the Awards, the Executives will benefit from the growth in value of their respective Award from the date of grant along with the right to acquire the Trustee's interest by way of a nil cost option in the event that the Awards vest.

All dividend and voting rights comprised in the JOE Awards are waived whilst jointly held by the relevant Executive and the Trustee of the EBT.

Related party transaction

The grant of the Awards is a related party transaction under Rule 13 of the AIM Rules for Companies. Don Elgie, David Cotterell and Martin Blair, being the independent directors, consider, having consulted the Company's Nominated Adviser, Shore Capital & Corporate Limited, that the terms of the related party transaction are fair and reasonable insofar as the Company's shareholders are concerned.

Enquiries:

 
 Kape Technologies plc                               via Vigo Communications 
  Ido Erlichman, Chief Executive Officer 
  Moran Laufer, Chief Financial Officer 
 Shore Capital (Nominated Adviser & Broker) 
  Toby Gibbs / James Thomas                          [phone] 
 Vigo Communications (Financial Public Relations) 
  Jeremy Garcia / Antonia Pollock 
  [e-mail]                                 [phone] 
 

About Kape

Kape is a cybersecurity company focused on helping consumers around the world to have better experience and protection in their digital life. Kape develops and distributes a variety of digital products in the online security space. The Company utilises its proprietary digital distribution technology to optimise its reach and create a superb user experience. Kape offers products which provide online security, privacy and an optimal online experience. Kape's vision is to provide online autonomy for a secure and accessible personal digital life, with team of over 350 people across seven locations worldwide.

www.kape.com

This announcement contains certain information that could be interpreted as forward-looking statements with respect to the financial conditions, results of operations and businesses of Kape. This information involves risk and uncertainty because it relates to events and depends upon circumstances that will occur in the future. There are a number of factors that could cause actual results or developments to differ materially from those expressed or implied by this information. Nothing in this announcement should be construed as a profit forecast.

Notification of Transactions of Directors / Persons Discharging Managerial Responsibility and Connected Persons

 
 1    Details of the person discharging managerial responsibilities 
       / person closely associated 
 a)   Name                          Ido Erlichman 
     ----------------------------  ------------------------------------- 
 2    Reason for the notification 
     ------------------------------------------------------------------- 
 a)   Position/status               Chief Executive Officer 
     ----------------------------  ------------------------------------- 
 b)   Initial notification          Initial notification 
       /Amendment 
     ----------------------------  ------------------------------------- 
 3    Details of the issuer, emission allowance market participant, 
       auction platform, auctioneer or auction monitor 
     ------------------------------------------------------------------- 
 a)   Name                          Kape Technologies plc 
     ----------------------------  ------------------------------------- 
 b)   LEI                           213800UWCIGKJD9U3T81 
     ----------------------------  ------------------------------------- 
 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,          Ordinary shares of US$0.0001 par 
       type of instrument             value in Kape Technologies plc 
 
       Identification code            IM00BQ8NYV14 
     ----------------------------  ------------------------------------- 
 b)   Nature of the transaction     Issue of nil cost awards under the 
                                     Company's 2014 Global Equity Plan 
     ----------------------------  ------------------------------------- 
 c)   Price(s) and volume(s)          Price(s)    Volume(s) 
                                       nil cost    1,200,000 
                                                  ---------- 
     ----------------------------  ------------------------------------- 
 d)   Aggregated information 
 
       - Aggregated volume            N/A (single transaction) 
       - Price 
     ----------------------------  ------------------------------------- 
 e)   Date of the transaction       24/08/18 
     ----------------------------  ------------------------------------- 
 f)   Place of the transaction      London Stock Exchange, AIM Market 
                                     (XLON) 
     ----------------------------  ------------------------------------- 
 
 
 1    Details of the person discharging managerial responsibilities 
       / person closely associated 
 a)   Name                          Moran Laufer 
     ----------------------------  ------------------------------------- 
 2    Reason for the notification 
     ------------------------------------------------------------------- 
 a)   Position/status               Chief Financial Officer 
     ----------------------------  ------------------------------------- 
 b)   Initial notification          Initial notification 
       /Amendment 
     ----------------------------  ------------------------------------- 
 3    Details of the issuer, emission allowance market participant, 
       auction platform, auctioneer or auction monitor 
     ------------------------------------------------------------------- 
 a)   Name                          Kape Technologies plc 
     ----------------------------  ------------------------------------- 
 b)   LEI                           213800UWCIGKJD9U3T81 
     ----------------------------  ------------------------------------- 

 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,          Ordinary shares of US$0.0001 par 
       type of instrument             value in Kape Technologies plc 
 
       Identification code            IM00BQ8NYV14 
     ----------------------------  ------------------------------------- 
 b)   Nature of the transaction     Issue of nil cost awards under the 
                                     Company's 2014 Global Equity Plan 
     ----------------------------  ------------------------------------- 
 c)   Price(s) and volume(s)          Price(s)    Volume(s) 
                                       nil cost    600,000 
                                                  ---------- 
     ----------------------------  ------------------------------------- 
 d)   Aggregated information 
 
       - Aggregated volume            N/A (single transaction) 
       - Price 
     ----------------------------  ------------------------------------- 
 e)   Date of the transaction       24/08/18 
     ----------------------------  ------------------------------------- 
 f)   Place of the transaction      London Stock Exchange, AIM Market 
                                     (XLON) 
     ----------------------------  ------------------------------------- 
 

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 [e-mail] or visit www.rns.com.

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August 24, 2018 02:00 ET (06:00 GMT)