Director/PDMR Shareholding

1

Details of the person discharging managerial responsibilities / person closely associated

a)

Name

John Andrew Heron

2

Reason for the notification

a)

Position/status

Managing Director - Paragon Mortgages

b)

Initial notification /Amendment

Initial notification

3

Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor

a)

Name

The Paragon Group of Companies PLC

b)

LEI

N/A

4

Details of the transaction(s): section to be repeated for (i) each type of instrument; (ii) each type of transaction; (iii) each date; and (iv) each place where transactions have been conducted

a)

Description of the financial instrument, type of instrument

Ordinary Shares of £1.00 each in The Paragon Group of Companies PLC

Identification code

GB00B2NGPM57

b)

Nature of the transaction

Exercise for nil consideration and sale of awards granted as follows:

1) 148,595 shares under the Paragon Performance Share Plan 2013; and

2) 24,258 shares under the Paragon Deferred Share Bonus Plan 2013.

c)

Price(s) and volume(s)

Price(s)

Volume(s)

£4.0036

172,853

d)

Aggregated information

N/A - single transaction

- Aggregated volume

- Price

e)

Date of the transaction

21 December 2016

f)

Place of the transaction

London Stock Exchange (XLON)