Holding(s) in Company

1. Identity of the issuer or the underlying issuerof existing shares to which voting rights areattached: ii

Coats Group plc

2 Reason for the notification (please tick the appropriate box or boxes):

An acquisition or disposal of voting rights

X

An acquisition or disposal of qualifying financial instruments which may result in the acquisition of shares already issued to which voting rights are attached

An acquisition or disposal of instruments with similar economic effect to qualifying financial instruments

An event changing the breakdown of voting rights

Other (please specify):

3. Full name of person(s) subject to thenotification obligation: iii

Prudential plc group of companies

4. Full name of shareholder(s) (if different from 3.):iv

Prudential plc

M&G Group Limited

M&G Limited

M&G Investment Management Limited

M&G Securities Limited

5. Date of the transaction and date onwhich the threshold is crossed orreached: v

29 July 2016

6. Date on which issuer notified:

01 August 2016

7. Threshold(s) that is/are crossed orreached: vi, vii

See item 13

8. Notified details:

A: Voting rights attached to shares viii, ix

Class/type ofshares

if possible usingthe ISIN CODE

Situation previousto the triggeringtransaction

Resulting situation after the triggering transaction

NumberofShares

NumberofVotingRights

Numberof shares

Number of votingrights

% of voting rights x

Direct

Direct xi

Indirect xii

Direct

Indirect

ORD GBP0.05

GB00B4YZN328

140,851,167

140,851,167

141,251,167

0

141,251,167

0

10.03%

B: Qualifying Financial Instruments

Resulting situation after the triggering transaction

Type of financialinstrument

Expirationdate xiii

Exercise/Conversion Period xiv

Number of votingrights that may beacquired if theinstrument isexercised/ converted.

% of votingrights

C: Financial Instruments with similar economic effect to Qualifying Financial Instruments xv, xvi

Resulting situation after the triggering transaction

Type of financialinstrument

Exercise price

Expiration date xvii

Exercise/Conversion period xviii

Number of voting rights instrument refers to

% of voting rights xix, xx

Nominal

Delta

Total (A+B+C)

Number of voting rights

Percentage of voting rights

141,251,167

10.03%

9. Chain of controlled undertakings through which the voting rights and/or thefinancial instruments are effectively held, if applicable: xxi

Prudential plc (parent Company) - 141,251,167 (10.03%)

M&G Group Limited (wholly owned subsidiary of Prudential plc) - 141,036,743 (10.01%)

M&G Limited (wholly owned subsidiary of M&G Group Limited) - 141,036,743 (10.01%)

M&G Investment Management Limited (wholly owned subsidiary of M&G Limited) - 141,036,743 (10.01%)

M&G Securities Limited (wholly owned subsidiary of M&G Limited) - 141,036,743 (10.01%)

Proxy Voting:

10. Name of the proxy holder:

N/A

11. Number of voting rights proxy holder will cease to hold:

N/A

12. Date on which proxy holder will cease to hold voting rights:

N/A

13. Additional information:

The following entities have triggered a notification moving above a 10% notifiable interest:M&G Group Limited (wholly owned subsidiary of Prudential plc)M&G Investment Management Limited (wholly owned subsidiary of M&G Limited)M&G Limited (wholly owned subsidiary of M&G Group Limited)

M&G Securities Limited (wholly owned subsidiary of M&G Limited)

14. Contact name:

John Baker / Owen Smith / James Todd

M&G Investment Management Limited

15. Contact telephone number:

020 7548 2561 / 020 7004 4517 / 020 7548 2293