03 September 2018

Executive Share Options Alignment

Collagen Solutions plc (AIM: COS), the developer and manufacturer of biomaterials and regenerative medicines for the enhancement and extension of human life, announces an amendment to the terms of certain options issued under its existing share option scheme.

The Remuneration Committee has agreed to the equalisation of the performance conditions of certain outstanding share options in the Company issued to the senior management team. The performance conditions required for these options to vest will be adjusted to the attainment of a target closing share mid-price of 10p and the achievement of sustainable positive cash flows from operations (sustained for a period of at least six consecutive monthly periods), bringing them in line with the performance conditions attached to those options granted to the senior management team since July 2017. The change impacts the vesting criteria on the following options:

        Existing Vesting criterion
Grant Date Who Number Share price at
grant date
Share Price Condition EPS
24/11/2014 Gill Black 1,000,000 7.75p 27p OR 1p
01/04/2015 Tom Hyland 500,000  9.625p 27p OR 1p
15/12/2015 Jamal Rushdy  1,100,000 8.89p 27p OR 1p
15/12/2015 Jamal Rushdy 1,100,000 8.89p 58p N/A N/A
15/12/2015 Jamal Rushdy 1,100,000 8.89p Note 1    
14/07/2016 Jamal Rushdy 2,700,000 8.125p 30p N/A N/A
15/02/2017 Kevin Darlling  500,000 5.625p 27p OR 1p
07/03/2017 Brad Selman 500,000 5.75p 27p OR 1p

Note 1: Existing vesting criteria relate to non-market based performance conditions relating to the creation and realisation of value in the ChondroMimetic® business.

The expiration date on all options is 10 years from Grant Date. Vesting conditions under all other options remain unchanged.

David Evans Non-Executive Chairman said "As a result of the changes to the management team and Board over time there was a significant mis-alignment in option incentivisation between the newer appointees and those appointed earlier. The Remuneration Committee is aware of the need to provide a balance between potential shareholder returns with adequate incentivisation and is of the view that that the new targets set in relation to cash flow positivity and share price enhancement strike the right balance for the business going forward."

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014



Collagen Solutions Plc
Jamal Rushdy, CEO
Hilary Spence, CFO
Via Walbrook
Cenkos Securities plc (Nominated Adviser and Broker)
Steve Cox (Corporate Finance)
Stephen Keys
Tel: 0207 397 8900
Walbrook PR Ltd Tel: 020 7933 8780 or collagen@walbrookpr.com
Anna Dunphy Mob: 07876 741 001
Helen Cresswell Mob: 07841 917 679


About Collagen Solutions:

Collagen Solutions Plc is a global supplier, developer, and manufacturer of medical grade collagen, tissues, and related medical devices and components for use in regenerative medicine, medical devices and in-vitro diagnostics and research. The Company is also expanding its range of biomaterials-based finished medical devices based on its internal and acquired intellectual property for commercialisation with partners via licensing and distribution arrangements, including ChondroMimetic®. The Company's products are used in a wide variety of applications including orthopaedics, cardiovascular, dental, plastic surgery, wound healing, neurology and urology.

For more information go to: www.collagensolutions.com.