Unite Group PLC — Remuneration Information 2023

Apr 6, 2023

National Storage Mechanism | Additional information

RNS Number : 6939V

Unite Group PLC (The)

06 April 2023

THE UNITE GROUP PLC (THE "COMPANY")

6 April 2023

GRANT OF OPTIONS AND DIRECTORS' INTERESTS

Pursuant to the long term incentive plan of the Company, awards have been granted to the Company's Executive Directors, namely Mr Richard Smith (Chief Executive Officer) and Mr Joe Lister (Chief Financial Officer) on 6 April 2023 as follows:  

Director	Nil cost options	HMRC approved options
Richard Smith	113,946	635
Joe Lister	89,656	635

The HMRC approved options were awarded at an option price of 943.5p per share, being the closing middle market price of the shares on the day prior to the date on which the options were granted.

The number of shares in respect of which Messrs Smith and Lister may exercise these options will be determined following the three-year measurement period ending 31 December 2025.  The number of awards vesting will be determined by reference to performance conditions comprising: EPRA adjusted earnings per share ('EPS'), relative total accounting return, relative total shareholder return, operational energy intensity and energy performance certificate ('EPC'), the latter two being sustainability metrics introduced in 2022.  A two-year holding period applies to these options, such that options vesting may only be exercised from 6 April 2028, the fifth anniversary of the date of grant.

Performance targets applying to the total accounting return, relative total shareholder return and operational energy intensity elements were disclosed prospectively in the 2022 Directors' Remuneration Report ('DRR'). 

As noted in the 2022 DRR, the Remuneration Committee (the 'Committee') took the decision to delay target setting for the EPS and EPC elements of the awards and committed to disclose these no later than the time of award.  The Committee has now agreed and can confirm the performance targets for the EPS and EPC elements as follows:

Measure	Threshold vesting (25% of element)	Maximum vesting (100% of element)
2025 EPRA EPS	46.7 pence	48.5 pence
EPC ratings: % of floorspace rated A-C as at 31 December 2025	91.0%	97.0%

In both cases, the Committee considers that these targets are appropriate and stretching, taking into account the Company's strategic priorities and the broader macroeconomic environment.  With regards to each measure:

·    EPRA EPS targets were set by the Committee having reviewed a range of relevant internal and external reference points, including an updated 5-year plan, market consensus estimates for the Company and the outlook for the broader UK real estate sector.  In finalising the performance range, the Committee considered the Company's development outlook, projections around the shape of a market recovery, the rising cost of funding and the net impact of price inflation on rental growth and the Company's cost base; and

·    Revisions to the EPC methodology took effect in 2022, with 85% of the Company's properties in England and Wales achieving a minimum of EPC C by the end of 2022.  The 2025 EPC targets reflect the Company's unchanged ambition that 100% of floorspace will be rated A-C by the end of 2027, and the trajectory now required to achieve this.

This notification is made in accordance with the requirements of the Market Abuse Regulation.

1

Details of the person discharging managerial responsibilities / person closely associated

a)

Name

Richard Smith

2

Reason for the notification

a)

Position/status

Chief Executive Officer

b)

Initial notification /Amendment

Initial notification

3

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

a)

Name

The Unite Group plc

b)

LEI

213800BBUUWVDH9YI827

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

Ordinary shares of 25p each

GB0006928617

b)

Nature of the transaction

Grant of LTIP options

c)

Price(s) and volume(s)

Price(s)	Volume(s)
943.5p	113,946
943.5p	635

d)

Aggregated information

- Aggregated volume

- Price

114,581

943.5p

e)

Date of the transaction

6 April 2023

f)

Place of the transaction

London Stock Exchange

1

Details of the person discharging managerial responsibilities / person closely associated

a)

Name

Joe Lister

2

Reason for the notification

a)

Position/status

Chief Financial Officer

b)

Initial notification /Amendment

Initial notification

3

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

a)

Name

The Unite Group plc

b)

LEI

213800BBUUWVDH9YI827

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

Ordinary shares of 25p each

GB0006928617

b)

Nature of the transaction

Grant of LTIP options

c)

Price(s) and volume(s)

Price(s)	Volume(s)
943.5p	89,656
943.5p	635

d)

Aggregated information

- Aggregated volume

- Price

90,291

943.5p

e)

Date of the transaction

6 April 2023

f)

Place of the transaction

London Stock Exchange

For further information, please contact:

Unite Students Christopher Szpojnarowicz, Company Secretary	Tel: +44 117 302 7120

END

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