Nanoco Group PLC has announced the granting of nil-cost options over ordinary shares to its executive directors and staff. The options were granted under the Nanoco Group 2015 Long Term Incentive Plan (LTIP) and the Nanoco 2015 Deferred Bonus Plan (DBP). The total resultant options held by the CEO, CTO, CFO, and other staff were disclosed. The number of options awarded was calculated based on the average closing mid-price in the three days after the announcement of the Group's results for the year ending 31 July 2023, which was 16.58 pence. However, due to the appreciation in the share price, the Board used the average closing mid-price in the three days after the announcement of a development agreement with STMicroelectronics, which was 19.97 pence, resulting in a reduction in the number of awards to each person by approximately 17%.

The DBP options are subject to a two-year holding period and will vest following the announcement of Nanoco's results for its financial year ending 31 July 2025, with no further performance conditions. On the other hand, the vesting of the LTIP options is subject to the achievement of two performance conditions: Absolute Total Shareholder Return (Absolute TSR) and growth in the Group's revenue over a three-year performance period ending 31 July 2026. The Board has adopted Absolute TSR as one of the performance conditions due to the potentially distorting effects of any return of capital on a simple share price target. The targets for Absolute TSR were disclosed, while the revenue targets were considered commercially sensitive and hence not disclosed at this time.

The LTIP options will vest (subject to the achievement of the performance conditions) following the announcement of Nanoco's results for its financial year ending 31 July 2026, and are then subject to an additional two-year holding period. This notification was made pursuant to the requirements under the UK Market Abuse Regulation.

The announcement provides a comprehensive overview of the granting of nil-cost options to Nanoco Group PLC's directors and staff, including the calculation of the options, the conditions for vesting, and the disclosure of targets for Absolute TSR.