The Pebble Group Announces Exercise of Options by CEO and CFO
Why we think this is neutral
The RNS announcement appears to be a routine regulatory update regarding the exercise of management options and subsequent share sales. While the broker targets suggest potential upside, the current share price performance and management share sales are neutral to slightly negative signals. The announcement does not contain any major new information that would significantly change the company's prospects or valuation.
Key Points
- CEO and CFO exercise 358,962 nil cost options under LTIP
- Options satisfied through allocation of existing shares, no new shares issued
- CEO and CFO sell 97,653 and 72,336 shares respectively to settle tax liabilities
- Remaining shares subject to two-year post-vesting holding period
- Brokers maintain "Buy" recommendations with price targets of 150p to 60p
Summary
The Pebble Group, a leading provider of technology, services and products to the global promotional products industry, has announced the exercise of 358,962 nil cost options by its CEO Chris Lee and CFO Claire Thomson under the company's Long Term Incentive Plan (LTIP). The options have been satisfied through the allocation of existing shares held by the company's Employee Benefit Trust, with no new shares issued. Following the option exercises, the CEO and CFO sold 97,653 and 72,336 shares respectively to settle personal tax liabilities. The remaining shares held by the CEO and CFO are still subject to a two-year post-vesting holding period. Several brokers, including Shore Capital and Berenberg Bank, have reiterated their "Buy" recommendations on the stock with price targets ranging from 150p to 60p.