Corporate Governance
Section 172 Statements
We understand that our business can only grow and prosper over the long term if we understand and respect the views and needs of our key stakeholders.
Recent legislative changes now require certain companies to provide additional information in their strategic reports to allow shareholders to better understand and assess how directors are discharging their duty to promote the success of the company and the other matters set out in Section 172 of the Companies Act 2006 (s172).
Please click to access the Coats Group plc s172 statement.
Please find below the s172 statements for the Coats Group subsidiaries which meet the qualifying conditions. During the course of the year, the directors of UK subsidiaries of Coats Group plc continued to have appropriate consideration of the s172 matters when reviewing proposals and conducting the business of these companies:
Coats Industrial Thread Limited
Section 172 Statement – Duty to promote the success of the company
Section 172 of the Companies Act 2006 requires the Directors to promote the success of the Company for the benefit of the members as a whole, having regard to the interests of stakeholders in their decision making (S172 Factors). The Directors understand the importance of taking into account our stakeholder expectations and needs, to achieve our strategy and accordingly our long-term sustainable success. The Board’s intent is always to maintain high standards of business conduct and governance in all of the Company’s operations, which is critical in maintaining our reputation for doing the right thing. As a wholly owned subsidiary of Coats Group plc, our key stakeholders are aligned with our ultimate parent company and you can read more about that stakeholder engagement on pages 20 to 24 of the 2022 Annual Report for Coats Group plc. By considering Coats Group’s purpose, vision and values together with the strategic priorities, we balance outcomes for our key stakeholders alongside long-term sustainable growth.
As the principal activity of the Company is the holding of investments in group companies, decisions on receiving and making dividend payments and receiving royalties are the main decisions taken where we ensure that the impact of these decisions, including the impact on our stakeholders, is considered. The Company’s approach to its suppliers and the wider employees of the Coats Group was considered as part of the approval process for the Modern Slavery Statement published on the Coats Group plc website. We regularly review which are our key stakeholder relationships and examine how we appropriately engage with them. We also consider ways to ensure that we maintain open lines of communication with those stakeholder groups and whether there are ways that the Board’s engagement can be improved to help us operate more effectively.
Coats Holdings Limited
Section 172 Statement – Duty to promote the success of the company
Section 172 of the Companies Act 2006 requires the Directors to promote the success of the Company for the benefit of the members as a whole, having regard to the interests of stakeholders in their decision making (S172 Factors). The Board believes that considering our stakeholders in key business decisions is not only the right thing to do but is core to our ability to drive value creation over the longer term. As a wholly owned subsidiary of Coats Group plc, our key stakeholders are aligned with our ultimate parent company and you can read more about that stakeholder engagement in the Annual Report for Coats Group plc for the year ended 31 December 2022. By considering Coats Group’s purpose, vision and values together with the strategic priorities, we balance outcomes for our key stakeholders alongside long-term sustainable growth.
As the principal activity of the Company is the holding of investments in group companies, decisions on receiving and making dividend payments are the main decisions taken where we ensure that the impact of these decisions, including the impact on our stakeholders, is considered. The Company’s approach to its suppliers and the wider employees of the Coats Group was considered as part of the approval process for the Modern Slavery Statement published on the Coats Group plc website. We regularly review what are our key stakeholder relationships and examine how we appropriately engage with them. We also consider ways to ensure that we maintain open lines of communication with those stakeholder groups and whether there are ways that the Board’s engagement can be improved to help us operate more effectively.
Coats Limited
Section 172 Statement – Duty to promote the success of the company
Section 172 of the Companies Act 2006 requires the Directors to promote the success of the Company for the benefit of the members as a whole, having regard to the interests of stakeholders in their decision making (S172 Factors). The Board believes that considering our stakeholders in key business decisions is not only the right thing to do but is core to our ability to drive value creation over the longer term. As a wholly owned subsidiary of Coats Group plc, our key stakeholders are aligned with our ultimate parent company and you can read more about that stakeholder engagement in the Annual Report for Coats Group plc for the year ended 31 December 2022. By considering Coats Group’s purpose, vision and values together with the strategic priorities, we balance outcomes for our key stakeholders alongside long-term sustainable growth.
As the principal activity of the Company is the holding of investments in group companies, decisions on receiving and making dividend payments are the main decisions taken where we ensure that the impact of these decisions, including the impact on our stakeholders, is considered.
The Company’s approach to its suppliers and the wider employees of the Coats Group was considered as part of the approval process for the Modern Slavery Statement published on the Coats Group plc website. We regularly review what are our key stakeholder relationships and examine how we appropriately engage with them. We also consider ways to ensure that we maintain open lines of communication with those stakeholder groups and whether there are ways that the Board’s engagement can be improved to help us operate more effectively.
The Directors of the Company implemented the decisions made by Coats Group plc following their engagement with pension trustees to agree the Coats UK Pension Scheme pensioner buy-in transaction. The interests of employees and shareholders of the Group were appropriately considered when agreeing this transaction.
Coats Group Finance Company Limited
Section 172 Statement – Duty to promote the success of the company
Section 172 of the Companies Act 2006 requires the Directors to promote the success of the Company for the benefit of the members as a whole, having regard to the interests of stakeholders in their decision making (S172 Factors). The Board believes that considering our stakeholders in key business decisions is not only the right thing to do but is core to our ability to drive value creation over the longer term. As a wholly owned subsidiary of Coats Group plc, our key stakeholders are aligned with our ultimate parent company and you can read more about that stakeholder engagement in the Annual Report for Coats Group plc for the year ended 31 December 2022. By considering Coats Group’s purpose, vision and values together with the strategic priorities, we balance outcomes for our key stakeholders alongside long-term sustainable growth.
As the principal activity of the Company is the holding of investments in group companies, decisions on receiving and making dividend payments are the main decisions taken where we ensure that the impact of these decisions, including the impact on our stakeholders, is considered. The Company’s approach to its suppliers and the wider employees of the Coats Group was considered as part of the approval process for the Modern Slavery Statement published on the Coats Group plc website. We regularly review what are our key stakeholder relationships and examine how we appropriately engage with them. We also consider ways to ensure that we maintain open lines of communication with those stakeholder groups and whether there are ways that the Board’s engagement can be improved to help us operate more effectively.
The Directors of the Company implemented the decisions made by Coats Group plc following their engagement with debt providers as part of the financing of the acquisition bank facility during 2022.
GPG (UK) Holdings Limited
Section 172 Statement – Duty to promote the success of the company
Section 172 of the Companies Act 2006 requires the Directors to promote the success of the Company for the benefit of the members as a whole, having regard to the interests of stakeholders in their decision making (S172 Factors). The Board believes that considering our stakeholders in key business decisions is not only the right thing to do but is core to our ability to drive value creation over the longer term. The Board’s intent is always to maintain high standards of business conduct and governance in all of the Company’s operations, which is critical in maintaining our reputation for doing the right thing. As a wholly owned subsidiary of Coats Group plc, our key stakeholders are aligned with our ultimate parent company and you can read more about that stakeholder engagement in the Annual Report for Coats Group plc for the year ended 31 December 2022. By considering Coats Group’s purpose, vision and values together with the strategic priorities, we balance outcomes for our key stakeholders alongside long-term sustainable growth.
As the principal activity of the Company is the holding of investments in group companies, decisions on receiving and making dividend payments are the main decisions taken where we ensure that the impact of these decisions, including the impact on our stakeholders, is considered. The Company’s approach to its suppliers and the wider employees of the Coats Group was considered as part of the approval process for the Modern Slavery Statement published on the Coats Group plc website. We regularly review which are our key stakeholder relationships and examine how we appropriately engage with them. We also consider ways to ensure that we maintain open lines of communication with those stakeholder groups and whether there are ways that the Board’s engagement can be improved to help us operate more effectively.
J. & P. Coats Limited
Section 172 Statement – Duty to promote the success of the company
Section 172 of the Companies Act 2006 requires the Directors to promote the success of the Company for the benefit of the members as a whole, having regard to the interests of stakeholders in their decision making (S172 Factors). The Board believes that considering our stakeholders in key business decisions is not only the right thing to do but is core to our ability to drive value creation over the longer term. The Board’s intent is always to maintain high standards of business conduct and governance in all of the Company’s operations, which is critical in maintaining our reputation for doing the right thing.
As a wholly owned subsidiary of Coats Group plc, our key stakeholders are aligned with our ultimate parent company and you can read more about that stakeholder engagement in the Annual Report for Coats Group plc for the year ended 31 December 2022. By considering Coats Group’s purpose, vision and values together with the strategic priorities, we balance outcomes for our key stakeholders alongside long-term sustainable growth.
As the principal activity of the Company is the holding of investments in group companies, decisions on receiving and making dividend payments are the main decisions taken where we ensure that the impact of these decisions, including the impact on our stakeholders, is considered. The Company’s approach to its suppliers and the wider employees of the Coats Group was considered as part of the approval process for the Modern Slavery Statement published on the Coats Group plc website. We regularly review which are our key stakeholder relationships and examine how we appropriately engage with them. We also consider ways to ensure that we maintain open lines of communication with those stakeholder groups and whether there are ways that the Board’s engagement can be improved to help us operate more effectively.
Coats Digital Limited
Section 172 Statement – Duty to promote the success of the company
Section 172 of the Companies Act 2006 requires the Directors to promote the success of the Company for the benefit of the members as a whole, having regard to the interests of stakeholders in their decision making (S172 Factors). The Directors understand the importance of taking into account our stakeholder expectations and needs, to achieve our strategy and accordingly our long-term sustainable success. The Board’s intent is always to maintain high standards of business conduct and governance in all of the Company’s operations, which is critical in maintaining our reputation for doing the right thing. As a wholly owned subsidiary of Coats Group plc, our key stakeholders are aligned with our ultimate parent company and you can read more about that stakeholder engagement in the Annual Report for Coats Group plc for the year ended 31 December 2022. By considering Coats Group’s purpose, vision and values together with the strategic priorities, we balance outcomes for our key stakeholders alongside long-term sustainable growth.
As the principal activity of the Company is the holding of investments in group companies, decisions on receiving and making dividend payments are the main decisions taken where we ensure that the impact of these decisions, including the impact on our stakeholders, is considered. The Company’s approach to its suppliers and the wider employees of the Coats Group was considered as part of the approval process for the Modern Slavery Statement published on the Coats Group plc website. We regularly review which are our key stakeholder relationships and examine how we appropriately engage with them. We also consider ways to ensure that we maintain open lines of communication with those stakeholder groups and whether there are ways that the Board’s engagement can be improved to help us operate more effectively.
Fast React Systems Limited
Section 172 Statement – Duty to promote the success of the company
Section 172 of the Companies Act 2006 requires the Directors to promote the success of the Company for the benefit of the members as a whole, having regard to the interests of stakeholders in their decision making (S172 Factors). The Board believes that considering our stakeholders in key business decisions is not only the right thing to do but is core to our ability to drive value creation over the longer term. As a wholly owned subsidiary of Coats Group plc, our key stakeholders are aligned with our ultimate parent company and you can read more about that stakeholder engagement in the Annual Report for Coats Group plc for the year ended 31 December 2022. By considering Coats Group’s purpose, vision, and values together with the strategic priorities, we balance outcomes for our key stakeholders alongside long-term sustainable growth.
As the Board makes decisions, we ensure that the impact on any of these groups is considered. The Company’s approach to its suppliers and the wider employees of the Coats Group was considered as part of the approval process for the Modern Slavery Statement published on the Coats Group plc website. We regularly review which are our key stakeholder relationships and examine how we appropriately engage with them. We also consider ways to ensure that we maintain open lines of communication with those stakeholder groups and whether there are ways that the Board’s engagement can be improved to help us operate more effectively.