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."
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Enquiries
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Investors
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Chris Dyett
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Coats Group
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+44 (0)797 497 4690
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Media
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Richard Mountain /
Nick Hasell
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FTI Consulting
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+44 (0)20 3727 1374
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Notes:
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Rajiv Sharma
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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.
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David Paja
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David Paja's remuneration package
will be aligned with the Company's Directors remuneration policy
approved by shareholders on the 17th 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.
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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.