VEL Velocity Composites Plc

3 February 2025

Velocity Composites plc

("Velocity" or the "Company")

Grant of Share Options to Directors/PDMRs and Management Team

Velocity Composites plc (AIM: VEL.L), the leading supplier of advanced composite material kits to the aerospace market, announces that on 31 January 2025, the Board granted a total of 2,085,518 share options over Velocity ordinary shares of 0.25p each (the "Share Options") to certain directors, PDMRs and other members of the management team.  These Share Options are being awarded to align the recipients with the development and implementation of the Company's strategic plans and to incentivise them appropriately on an ongoing basis.

The Share Options have been awarded under three different schemes that have different exercise prices, vesting periods and conditions attached to them. Details are set out as follows: 

LTIP Share Options can be exercised after two years from the date of vesting and will vest each half year once a target profit before tax, set by the Remuneration Committee, has been achieved for the previous 12-month period. Once vested, the Share Options may be exercised at any time until the tenth anniversary of the award date. The Share Options are subject to claw back and malus provisions. These Share options have been granted at a price of 25.72p, a discount of 6.02p, to the closing market price of 31.75p as at 30 January 2025.

Joiner Share Options can be exercised after 3 years from the date of joining and will vest on condition that the option holder is still an employee of the Group on their third anniversary of joining the company. Once vested, the Share Options may be exercised at any time until the tenth anniversary of the award date. The Share Options are subject to claw back and malus provisions and have been granted at a price of 25.72p, a discount of 6.02p, to the closing market price of 31.75p as at 30 January 2025.

Salary Sacrifice Share Options can be exercised after 31 October 2025. Once vested, the Share Options may be exercised at any time until the fifth anniversary of the award date. The Share Options are subject to claw back and malus provisions and have been granted at a price of 0.25p on the basis that the Option Holder surrenders 20% of their salary for the entirety of FY25.

The Share Options have been granted to the following Directors/PDMRs:

¹ Jonanthan Bridges' holding includes 4,015,929 ordinary shares held in his own name and 1,350,000 held by his wife, Mrs E Bridges.

In addition to director/PDMRs, 720,000 Share Options have been issued to nine members of the management team who report into the executive team and are key to the performance of the business.

With the exception of the salary sacrifice share options granted to Andy Beaden, David Bailey and Annette Rothwell, the Share Options have been issued under the Company's EMI scheme.

Following the above grants, the Company has a total of 4,859,885 Ordinary Shares currently under option, representing approximately 9.0 per cent of the Company's issued share capital.

Enquiries:

About Velocity Composites plc

Based in Burnley, UK, Velocity is the leading supplier of composite material kits to aerospace and other high-performance manufacturers, that reduce costs and improve sustainability.  Customers include Airbus, Boeing, and GKN.

By using Velocity's proprietary technology, manufacturers can also free up internal resources to focus on their core business.  Velocity has significant potential for expansion, both in the UK and abroad, including into new market areas, such as wind energy, urban air mobility and electric vehicles, where the demand for composites is expected to grow.

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