REG - Coats Group PLC - Directorate Change

CoatsAnnouncement

30/05/2024 07:00

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RNS Number : 3590Q  Coats Group PLC  30 May 2024

 

 

30 May 2024

Coats Group plc

 

Group Chief Executive succession

 

The Board of Coats Group plc ('Coats', the 'Company' or the 'Group'), the
world's leading industrial thread and global footwear
component manufacturer, today announces a succession plan for Rajiv Sharma,
who has decided to step down from his role after 14 years with Coats, the last
eight years as Group Chief Executive, and leave the Group by the end of 2024.
Following a comprehensive selection process, supported by external advisers,
the Board has appointed David Paja as Group Chief Executive designate. David
is expected to join the Group and become an Executive Director of the Board on
1 September 2024 and assume responsibilities from Rajiv on 1 October 2024.
Rajiv will remain available to the Board and David until year-end.

 

David Paja was until recently CEO of GKN Aerospace, part of Melrose Industries
PLC, where he played a major role in the successful turnaround of the business
and delivery of profitable growth. Prior to this, David held senior leadership
positions at Aptiv, Honeywell and Valeo.

 

David Gosnell OBE, Chair of Coats, comments:

"Rajiv has been instrumental in driving the transformation of Coats since
being appointed Group Chief Executive eight years ago. He will leave us in a
much stronger position, with a platform for accelerating profitable growth."

 

"We are delighted to welcome David to the team. Having run a thorough search
process, we are excited to have found a world-class candidate who has the
experience and skills to deliver upon the next part of the Coats journey."

 

Rajiv Sharma, Coats Group Chief Executive, comments:

"It has been a privilege to lead Coats.  During my 14 years with Coats, the
company was listed on the London Stock Exchange and entered the FTSE 250 and
has been transformed into a pure B2B industrial-focused company.  The growth
strategy that is underpinned by sustainability, innovation, digital and
acquisitions is delivering results, with industry-leading margins and cash.
 I congratulate David Paja on his appointment as the next Group Chief
Executive and wish him and the team every success."

 

David Paja, Coats Group Chief Executive designate, comments:

"I am very excited about taking up the Group Chief Executive role, the growth
prospects for Coats and what we can achieve over the medium-term given the
strong starting position. I look forward to working with Rajiv and the team
from September."

 

 

 Enquiries
 Investors   Chris Dyett         Coats Group     +44 (0)797 497 4690
 Media       Richard Mountain /  FTI Consulting  +44 (0)20 3727 1374

             Nick Hasell

 

 Notes:

 

 Rajiv Sharma
 ·             Rajiv Sharma will be treated in accordance with Coats' remuneration policy and
               his service contract for the remaining term of his employment. He will be
               treated as a good leaver for the purpose of incentives. Rajiv is expected to
               step down from the Board and as Group Chief Executive on 1 October 2024. He
               will be available to support the business as required. Full details will be
               disclosed on Coats' website in compliance with Section 430(2B) of the
               Companies Act 2006 and in the Directors' Remuneration Report within the
               Company's Annual Report for the year ended 31 December 2024.

 David Paja
 ·             David Paja's remuneration package will be aligned with the Company's Directors
               remuneration policy approved by shareholders on the 17(th) May 2023 reflective
               of the current Group Chief Executive package. On appointment his annual salary
               will be £720,000, plus pension allowance aligned with the UK workforce of 12%
               of base salary. Other elements of remuneration are aligned to policy including
               benefits. His maximum annual bonus opportunity will be 150% of base salary as
               well as a maximum LTIP opportunity of 175% of base salary. David will also
               receive a one-off share based award to partially compensate for a lost award
               incurred as a result of leaving his previous employment.

 

There is no further information to be disclosed pursuant to Listing Rule
9.6.13.

 

 

 

About Coats Group plc

Coats is a world leader in thread manufacturing and structural components for
apparel and footwear, as well as an innovative pioneer in performance
materials. These critical solutions are used to create a wide range of
products, including ones that provide safety and protection for people, data
and the environment. Headquartered in the UK, Coats is a FTSE250 company and a
FTSE4Good Index constituent. Revenue in 2023 was $1.4 billion.

 

Trusted by the world's leading companies to deliver crucial, innovative, and
sustainable solutions, Coats provides value-adding products including apparel,
accessory and footwear threads, structural footwear components, fabrics, yarns
and software applications. Customer partners include companies from the
apparel, footwear, automotive, telecoms, personal protection, and outdoor
goods industries.

 

With a proud heritage dating back more than 250 years and spirit of evolution
to constantly stay ahead of changing market needs, Coats has operations across
some 50 countries with a permanent workforce of more than 15,000, serving its
customers worldwide.

 

Coats connects talent, textiles, and technology, to make a better and more
sustainable world. Worldwide, there are four dedicated Coats Innovation Hubs,
where experts collaborate with partners to create the materials and products
of tomorrow. It participates in the UN Global Compact and is committed to
Science Based sustainability targets for 2030 and beyond, with an aspiration
of achieving net-zero by 2050. Coats is also committed to achieving its goals
in Diversity, Equity & Inclusion, workplace health & safety, employee
& community wellbeing, and supplier social performance. To find out more
about Coats visit www.coats.com (http://www.coats.com) .

 

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